NZD/USD Is Consolidating

NZD/USD is clearly forming a long-term sideways consolidation below the resistance at 0.7435, where the pair formed a double top about two months ago. That consolidation is likely about to continue for the foreseeable future as the pair bounced off from 0.7395, slightly below the aforementioned resistance, and in doing so formed multiple candlesticks on the daily time-frame – a doji candlestick, a pair of shooting star candlesticks and a hanging man candlestick - indicating a likely new move to the downside. The first target will probably be around 0.7285 and if there is a breakout below that level there will probably be a further move to the downside towards the support at 0.7235, which is the (MA)89 indicator on the daily time-frame.