Forex Technical Analysis - NZD

Short Summary 10-27-2015

The NZD/USD has advanced as much as 710 pips from its 2015 low at.6196. As the pair continues its move higher, traders may begin planning to enter the market on new higher highs, however I think we may see a pull back before a move higher. The current October high for the pair resides at .6897, this high is now our overhead resistance ,  traders may increase their longs if we break above this area and stops are run. In the event of a breakout higher, I will not be looking for longs. I may increase my shorts if this is done on low momentum volume.

I would like to note that we have hit our 50% fib retracement area, a key level and this may cause a further pull back of at least 200-300 pips. At the moment it is difficult to say our direction, however, I have began a small short and will wait to see what kind of a move we see to the downside.  I expect a (To view the full story join us or sign in)