EURNZD slips as commodity currencies rally

Stuart Cowell HFM

EURNZD, Daily

The AUD and NZD have outperformed today and along with the LONG positions on the AUD from January 4 I have entered a SHORT position on EURNZD following yesterdays (January 10) close. The longer term Weekly and Monthly charts are in strong downtrends, so this position is very much with the trend. The entry point at 1.5070 was a confluence of the 38.2 Fibonacci level that did not break yesterday, the 20 DMA that was breached this morning and the 50 DMA zone. The Parabolic SAR has remained negative since January 3, the RSI is 47 and falling and the MACD remains weak. Target 1 also coincides with the 14 DATR and the 23.6 Fibonacci level at 1.4948. Target 2 is below the lower daily Bollinger band and sits with the Weekly lower Bollinger band at 1.4860.

Author

Stuart Cowell

HFM

With over 25 years experience working for a host of globally recognized organisations in the City of London, Stuart Cowell is a passionate advocate of keeping things simple, doing what is probable and understanding how the news, c

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