NZD/USD Trading Positions

NZD/USD

The NZD/USD pair, also called the “Kiwi”, tells the trader how many US dollars (the quote currency) are needed to purchase one New Zealand dollar (the base currency). It is a commodity currency, that is a currency whose country's exports are largely comprised of raw materials (precious metals, oil, agriculture, etc.).


Important assets for NZD/USD

  • Currencies: AUD, CNY and YEN (Australia, China and Japan are important regional partners of New Zealand).
  • Commodities: First of, coal. New Zealand has extensive coal resources: coal accounts for about 10% of New Zealand’s primary energy (excluding transport fuels). Other important commodities are Silver and Iron Ore.
  • Bonds: GNZGB10 (New Zealand Govt Bond 10 Year) and AGB (debt securities issued by the Australian Government) and T-NOTE 10Y (10 year United States Treasury note).
  • Indices: NZX (New Zealand Exchange), ASX (Australian Securities Exchange) and Nikkei 225 (a stock market index for the Tokyo Stock Exchange).

Related Trading Position Post

Trading Leverage – A Real Look at how Traders May Use it Effectively

Many traders are attracted to the FX market due to the wide availability of leverage: the ability to control a trading position larger than your available capital. And arguably for good reason; leverage can be an effective tool in allowing an investor to achieve desired returns on trading capital. Yet leverage magnifies losses and represents a key risk, and indeed our data and experience shows that it is often misused and leads to very large losses.

Beliefs: A Source of Great Power – But Be Careful

There’s no doubt that a strong belief in yourself in any context is going to, in many cases, be the difference between thriving and going down. Of course, this notion also applies to your trading. If you are saddled by limiting, irrational or negative beliefs about yourself or your trading, you are going to experience some tough times. Also, beliefs can be used as a tool; and like a new suit of clothes, you can try on a new belief that is designed to take the place of a belief that doesn’t work for you, just to see how it fits.

How the Right Risk Management Can Save You from Trading Losses

Sometimes, traders tend to have unrealistic trading goals. We all want to be wealthy, but we must set ourselves realistic goals, that will both meet our risk appetite, and will be feasible to achieve. It is important that we will risk only amounts that we will comfortable loosing (obviously we don’t want to lose, but we need to assume the worst and see that we can live with that). Once we set our daily target/ maximum loss, we should stick to the target (or the maximum daily loss) and be disciplined (meaning once we hit the target we should stop trading for the day.

Setting Up A Commodity Trade

Using trading positions can tell when a trend is overextended or perhaps beginning. When trading Seasonal Patterns we would like to see the Commercial traders in alignment with the Seasonal Research. Considering the Commercials use the Commodity on a daily basis they most likely have created the Seasonal Pattern in the past.


Currency Trading Positions

The purpose of the Trading Positions table is to provide a glance of NZD/USD as to where our dedicated contributors are currently positioned. You can access the original analysis reports by clicking on each position.