KIWI’S WEEK: Usually I’m not a big fun of NZD trading, but since this week, Market choose to make this currency the popular one, I have to match my plan with what market are offering to me.
Forex Day Trading Forecast NZD for 07-02-2017
Like for all others pairs I trade, I need to find answer 2 simple question:
Would this currency be Bullish or Bearish? What would be the opposite currency to trade?
let’s look on few points…
At first, NZD sound to turn bearish for next few days and weeks… this would be a nice long term trade, especial after important news, witch could affect KIWI for a will. by looking on different currency, like “USD” , “JPY”..they may give us a good pairs to trade against NZD, But because, I was Bullish on USD last week, and Bearish on JPY, and still waiting my long trade position on USDJPY, I prefer to stay away. My Bullish currency for this week, would be GBP. It hit historical lows sound Bullish on all others pairs Technical analyses show NZDGBP going long on Long term.
Let’s Plan our trade on NZDGBP for this week.
If we look on majors pairs against NZD, you would see many double tops, or double bottoms on daily charts at this time. This shows us a great reversal trend for NZD.
Let’s look on Daily Chart, then Weekly and Monthly time frame:
Daily: Sellers can’t create news lows. Weekly: Current move down, are 2 to 3 time less volatile than last move down. Monthly: “orange range line” , shows us how buyers keep this price out of sellers control.
Let’s look on 4h chart…and see what’s going on:
What do we see?
There’s probably 2 area where you could take long GBPNZD,
once it would bounce on support line, at the green area. once it would make a second move up, and retest the support on 1st daily’s time frame shoulder.
Thank you readers, comments or ask question if you have some.
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