- NZD/USD Technical Strategy: Longs Preferred
- Breakout opens further gains in absence of bearish patterns
- Close above 0.8780 paves the way for an advance on 0.8840
The Kiwi bulls have managed to regain control of prices after earlier signs of hesitation from a Doji formation on the daily. Following a marginal close above former-resistance-turned support at 0.8780 the pair may be primed for a push to its 2011 high at 0.8840. Support for additional gains also stems from an absence of major reversal patterns.
NZD/USD: Breakout Paves Way For Further Gains
Daily Chart - Created Using FXCM Marketscope 2.0, Volume Indicator Available Here
The four hour chart for the Kiwi similarly shows few signs of a correction over the session ahead. A retest of the initial breakout point Doji formation helps to signal further gains for the New Zealand Dollar.
NZD/USD: Clear of Bearish Reversal Patterns
Four Hour Chart - Created Using FXCM Marketscope 2.0, Volume Indicator Available Here
By David de Ferranti, Currency Analyst, DailyFX
Follow David on Twitter: @Davidde
To receive David’s analysis directly via email, please sign up here.
Learn how to read candlesticks to help identify trading opportunities with the DailyFX Candlesticks Video Course.
Investing NewsChina’s forex reserves dropped by a record $93.9 billion at the end of August to $3.56 trillion because the Central Bank has been selling dollars to provide a cushion to the falling yuan
ForexAmid the rising economic power of India, the talks of making the Indian currency fully convertible are gaining momentum. We look at the pros and cons.
Forex FundamentalsAs the world's second largest economy, China's challenge to America’s dominance includes a push to make the yuan (RMB), the world’s reserve currency. Whether it can do that now is unclear.
EconomicsOne particular barrier to trade that has received much attention of late and caused delays in negotiations of the TPP is exchange-rate manipulation, by which a country artificially devalues its ...
ForexBreaking news moves forex markets. Here are the top U.S. sites for tracking forex news.
InvestingAccess to financial information has grown with the expansion of digital news. Bloomberg and Thomson Reuters lead the pack, claiming a majority of the business information market.
EconomicsSouth Korea is the latest country to cut interest rates in an attempt to stimulate economic growth.
Forex EducationPeer-to-peer (P2P) currency exchange networks offer a viable and cheaper alternative for buying and selling currencies.
ForexHere is a simple breakdown of how to open an offshore forex account for US-based users, including legal requirements.
EntrepreneurshipA brief overview of the top apps that help forex traders with on time information, charts and more.