EURNZD
Previous Month : Bearish
Previous Week : Bullish
Daily : Bearish
- EURNZD managed finally to break the range 1.6660/1.6520 to the upside with a solid 300 pip bullish candle which was due to NZD housing prices and Risk Off sentiment in market (NZD is a risk driven currency) reaching a solid resistance zone 1.7020/1.6980.
- Currently resistance zone is a historical Sup/Res that did hold for several times. Lately acted as a solid resistance during Jan in a ranging area from 1.7020 1.6820.
- COT report showing that NZD long positions are getting closed while NZD shorts are not increasing which means that this is a take profit for Long positions and still not a change in positions to Short NZD. We need more views on next 2 weeks positioning in order to have clear view on position changes.
- Seasonality showing that EURNZD will reach it’s top this month and will start continuing it’s bearish trend. Which could justify the spike this month along with the COT long positions.
- I’m looking for EURNZD to range between 1.7020/1.6820 after the current run from the lows created at 1.6500 which acts as a HL after the 1.6320 LL created in Feb.
- Will prefer longs with support formation above 1.6700 to retest the highs created at 1.6980 and may be continuation. And shorts with resistance formation below 1.6980 to retest the broken range high at 1.6660/1.6620
- Building Permits on Tuesday and Consumer Confidence on Thursday may give some move during Asian Session but not trend changer.
Weekly Trade Plan 4H Chart:
