NZDUSD - Bearish engulfing + RSI divergence -- price correction?

PAIR IN FOCUS: NZDUSD
ACTION: SHORT
HORIZON: SHORT-MEDIUM TERM

Have been looking at this for a few hours before and posted on my telegram channel.

Price movement is showing divergence with RSI, signalling an incoming price correction. A bearish engulfing on H4 time frame also offers a SHORT opportunity. Do take note that it is still possible for price to carve a new swing high with lower RSI before the actual correction.

If price has a new swing high accompanied with a higher RSI peak, then this set-up will be invalid.

The TP levels are indicated on the chart, plan your own Stop Loss. With the possibility of another swing high, Stop Loss is subjective as some would want to hold while others may not. Remember to manage your risk!

Feel free to discuss and comment, Cheers!

Free Telegram channel for FX Ideas -- https://t.me/tradermozo