Chart of the Day: NZDUSD
|The bearish argument for the NZDUSD has to be made at this level. First, the rally at the beginning of this week didn't even allow for the Kiwi to break the 38% retracement of .7306 of the spike high to .7447 to the low of .7208. A shallow bounce means that the risk is for a move lower now. Another issue that the Kiwi has is that last week we may have put in a 'false" breakout above the .7320 level and this week (thus far) we have not been able to break that level either. Next, stocks (in the US) look weak and with risk appetite weighing the risk may be for the NZDUSD to follow lower and break the 5 month trend line. The 50dma is at .7210 and that is this week's lows and multi month trend line. A break of this level should allow for a move back to .7100 and possibly lower.
Information on these pages contains forward-looking statements that involve risks and uncertainties. Markets and instruments profiled on this page are for informational purposes only and should not in any way come across as a recommendation to buy or sell in these assets. You should do your own thorough research before making any investment decisions. FXStreet does not in any way guarantee that this information is free from mistakes, errors, or material misstatements. It also does not guarantee that this information is of a timely nature. Investing in Open Markets involves a great deal of risk, including the loss of all or a portion of your investment, as well as emotional distress. All risks, losses and costs associated with investing, including total loss of principal, are your responsibility. The views and opinions expressed in this article are those of the authors and do not necessarily reflect the official policy or position of FXStreet nor its advertisers.