NZD/JPY continues to rise inside the daily Falling Wedge chart pattern which was previously identified by Autochartist. Autochartist rates the quality of this Falling Wedge at the 6-bar level – which is the result of the medium Initial Trend (4 bars) and average Uniformity and Clarity (both rated at the 6 bar level). NZD/JPY is expected to rise further inside this chart pattern – in line with the earlier upward reversal from the major support zone shown below.
As can be seen from the weekly NZD/JPY chart below, the price earlier reversed up from the major support zone lying between the strong support level 74.60 (low of the previous weekly Hammer from May), support trend line of the weekly down channel and the lower weekly Bollinger Band®. The proximity of this support area increases the probability NZD/JPY will continue to rise inside this chart pattern.
