NZD/USD Coils as Traders Await RBNZ – Levels to Know

Talking Points

  • NZD/USD allege exposed streamer intoRBNZ
  • Updated targets cancellation levels
  • Looking for some-more trade ideas? Review DailyFX’s 2017 Trading Guides. Join Michael for Live Weekly Trading Webinars on Mondays at 13:30GMT (8:30ET)

NZD/USD 120min

NZD/USD 120min Chart

Technical Outlook: Kiwi posted an outward day annulment off median-line insurgency yesterday with a decrease violation next a reduce together of a descending pitchfork fluctuating off a Dec / Jan lows. On face value, a span has simply set a well-defined weekly opening operation and streamer into a RBNZ seductiveness rate decision, a risk stays reduce while next connection insurgency during 7352 with a mangle next 7254 indispensable to countenance a near-term reversal. Subsequent support targets are eyed during 7200, 7179 a reduce together (~7150s).

A crack above a top together invalidates a annulment play with such a unfolding targeting connection insurgency during a 74-handle (also an area of seductiveness for near-term exhaustion). Keep in mind a executive bank is widely approaching to maintain a stream process stance and a concentration will be on a concomitant explanation as a pick-up in acceleration is counter-balanced by indolent salary / pursuit growth.

NZD/USD Coils as Traders Await RBNZ – Levels to Know

  • A outline of a DailyFX Speculative Sentiment Index (SSI) shows traders are brief NZDUSD- a ratio stands during -1.86 (35% of traders are long)- diseased bullishreading
  • Long positions are 0.6% reduce than yesterday and 5.6% next levels seen final week
  • Short positions are 5.8% aloft than yesterday and 3.4% above levels seen final week
  • Open seductiveness is 3.5% aloft than yesterday and 9.41% above a monthly normal
  • While a stream SSI form continues to indicate higher, it’s value observant that a ratio has continued to slight from a 2017 impassioned of -2.51 and leaves a long-side exposed near-term. Look for a build in prolonged positioning in a entrance days for serve justification that a span might be staid for a some-more suggestive pullback

Relevant Data Releases

NZD/USD Coils as Traders Await RBNZ – Levels to Know

Looking for trade ideas? Review DailyFX’s 2017 1Q Projections

Other Setups in Play:

  • USD/JPY Approaches Key Slope of Influence
  • AUD/JPY to Threaten Key Support Ahead of RBA
  • Weekly Strategy Webinar: USD Majors during Key Inflection Points
  • EUR/USD Risks Near-term Exhaustion Heading into NFPs

—Written by Michael Boutros, Currency Strategist with DailyFX

Follow Michaelon Twitter @MBForex hit him during mboutros@dailyfx.com or Click Here to be combined to his email placement list.

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