Just made a video for us, as I received news that made sense about a short opportunity with NZDUSD.
The NZD has climbed very high as of late, as it looks to make ground on the back of global risk appetite. With the upcoming rate hike expected from the RBNZ the dollar is looking strong. However, at the 85 cent mark its unsustainable and it looks likely we will see ranging lower in the coming days.
Technically, we can see that the RSI is showing signs that there is heavy buying pressure, especially given the recent 85 cent touch. Traders will now be looking to profit taking and the last few candles showed heavy pressure to fall lower. With this information its clear that a short opportunity exists in the market.
I look to enter at 0.8440 as the pair falls lower. I set my take profit at 0.8381 as kiwi looks for support. I also set a tight stop loss at 0.8472 in case of a break out.
We should also watch out for:
20:00 GMT NZD Home Sales y/y
00:30 GMT AUD Business Confidence
09:30 GMT GBP Industrial Production
23:30 GMT AUD Consumer Confidence
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