NZDCAD - Short setupFalling trendline together with structure as resistance. SL above hiher falling trendline. Target just above previously broken support/bullish trendline
Nzdshort
NZDUSD SHORT: Fundamental and TechnicalFundamentally: increasing monetary policy divergence between the Fed and RBNZ.
Technically: the Kiwi has broken its 2016 uptrend, and is retesting the underside of the 2016 trendline.
Fair value is around 0.65 given the current economic outlook for NZ and USA.
NZDUSD SHORT: Overvalued Fundamentally and TechnicallyRBNZ has not changed its dovish stance. Fed remains hawkish.
NZDUSD showing divergence to 0.7322. Strong resistance on 4H chart.
Many major banks forecast NZDUSD below 0.70 in medium term.
This currency pair is a sell at spot.
NZD CAD shortLooking at the past, this NZD CAD pair might go south. Seen the bullish look on oil this seems also a logical route (CAD is closely related to oil prices).
NZDUSD SHORT: Fundamental and TechnicalNZDUSD touched a 14-month high yesterday at 0.7344.
However, I believe it is overpriced, because:
Fundamentally: the RBNZ are in a easing cycle, and cut rates at their last meeting. However, RBNZ struggled to devalue the NZD with their rate cut.
Thus, I believe they will take a different approach in the coming months to devalue the NZD - perhaps in the way of a 'surprise' cut.
Technically: NZDUSD shows strong divergence on a 4H chart. It retreated quickly after touching the 14-month high above 0.734.
There is strong resistance in the 0.733-0.734 zone. This is confirmed by the last rejection from this zone in mid-July, where the Kiwi retraced back to 0.70 in the following 2 weeks.
Summary: Below 0.735, NZDUSD is set for a move back to the 0.70 handle. A break of 0.735 would expose more upside in the pair. However, any gains above 0.735, for example to 0.75, should be short-lived.
ST & MT ReversalAggressive rejection of 1.05 level could lead to sharp surge back up to 1.13 in the coming weeks
NZDUSD 1D Head and shoulders leading to .68 flatBears will probably be paying attention to this pattern forming on the daily. I myself am not going short, but I would love to hear you made some money off this one. Things that are interesting:
- measured H&S profit area, exactly matches:
--- rounded .68 number
--- earlier high (green box in march)
- rsi divergence around the neckline and
- failure to go higher right shoulder with massive selling volume
Long Term Buy GBP/NZDWith NZD still struggling to make any consistent good data and CPI expected to fall again this week we expect to see a huge relief rally on this downside against the GBP. This is a longer term trade and will probably last for a few weeks so trading it at smaller lot sizes to accommodate the large stop loss is wise...also take into consideration the difference in interest rates and the charges you will incure to hold this trade over long periods of time Learn to trad like a pro HTTP://BANKONADAM.COM
