EUR/NZD Reverses Recent Trend for the New Zealand Dollar
EUR/NZD reverses the recent trend for the New Zealand dollar. This cross pair shows shifting momentum. NZD weakness fades. Euro gains relational strength. Traders spot potential upside in EUR/NZD.
The EUR/NZD has delivered some excellent trading opportunities across all the timeframes this morning to the short side, following the recent heavily bearish sentiment towards the New Zealand dollar which has seen it weaken against all the major currencies. Indeed longer term the NZD is now looking increasingly oversold, so we may see this trend reflected on the slower timeframe charts in due course.
This Morning’s Move
This morning’s move was signalled initially with a move below the volume point of control (VPOC) on the 30-minute chart ( the yellow line), a move that was duly supported with rising volume and confirming the bearish sentiment. In addition, the transition in the trend monitor indicator from blue to red also confirmed this reversal, coupled with a pivot high indicator prior to the move through the VPOC.
Since then, momentum to the downside has increased with volumes also rising sharply and confirming the wide spread down candle as we approach a potential area of support in the 1.5298 region, and should this be breached then we can expect to see a further move lower and down to test the next level at 1.5256.
To the left of the chart the 60 minute currency strength indicator is also confirming this picture, with the NZD, the white line continuing to rise strongly in this timeframe, and the euro ( the orange line ) continuing to fall, with both having some way to travel before reaching their respective overbought and oversold regions on the currency strength indicator.
Volume Price Analysis Signals the Reversal
Volume price analysis (VPA) confirms the turn. Price tests lows on low volume—selling exhausted. Rebound candles widen with rising volume. This shows buying conviction. Divergence appears—NZD oversold extremes ease.
Quantum Tools Highlight the Shift
Quantum currency strength indicator ranks EUR higher. NZD drops from top spots. The matrix reveals cross-pair dynamics—EUR strong vs NZD weak. Trend Monitor flips bullish. These tools on MT5 or NinjaTrader make the reversal visual and reliable.
Trading Implications
EUR/NZD reversal favors longs. Pullbacks with volume support offer entries. Watch for continuation on high volume breaks. Anna Coulling’s VPA approach turns relational shifts into disciplined trades. Quantum indicators spot them early.
EUR/NZD’s reversal creates opportunities. Quantum tools with VPA deliver confident setups. Stay patient—volume confirms the new trend.
By Anna Coulling
Creator of Volume Price Analysis