19.01.201213:45 Forex Analysis & Reviews: EUR/NZD Ichimoku Technical Analysis for January 20, 2012

H4
Negative statistics of consumer prices in New Zealand turned to be very profitable for traders on the EUR/NZD market.
The exchange rate begun the ascending movement passing through all the resistance levels formed by the Ichimoku Indicator lines on the H4 timeframe. Only the short-term Tenkan-Sen and the Kijun-Sen lines remained stable, as they were horizontal but even the Senkou-Span A could not resist the bulls’ persistence. As a result by the end of the yesterday’s session the trading operations took place within the Ichimoku Cloud. Perhaps, if the prices remain higher than the Senkou Span A today, then it will be possible to continue the restoration later. The nearest target – 1.6230.

H1
The situation has changed on the H1 timeframe resulting from the yesterday’s restoration. Here the exchange rate has broken through the Ichimoku Cloud and turned to the positive area.
The Tenkan-Sen and the Kijun-Sen lines changed their direction immediately and formed the “golden cross” (5), supporting the bullish tendencies during the whole trading day.
Besides, the Senkou-Span A expanded as well and restrained quite significantly the sideways cannel of the Ichimoku Cloud. It is possible that the long-term trend will change to an upward one.
That is why the price bounce from the horizontal Tenkan-Sen Line (3) can lead to the further restoration of the cross.
The nearest resistance levels which NZD will have to overcome are located quite closely: 1.6170, 1.6193.