Hello Traders,
Here is the Top-Down Analysis of NZDCAD (Monthly, Weekly, Daily for direction and 4H for entry) for
Week 49 - Dec 02
M > Market was moving in a downward channel, however price has broken channel to the upside and now testing monthly supply zone.
W > Price has formed two over extended W formations and can see loss of momentum and also bearish divergence. We expect drop in price however in its current bullish move it can continue to rise to test weekly resistance.
D > Market is in overbought state however no sign of reversal can be seen currently. In massive bullish move we must see a reversal on daily chart for a confirmed sign.
As per COT NZD further added both Long and Short bringing Long to the highest for the year, ZXY has gained strength all of November, it is now testing a major resistance level. We can expect some correction to the downside for NZD. CAD added both Long and Short positions, improving net positions though still in -ve. N-R also added both Long and Short greatly improving cumulative net positions, in +ve. CXY strengthened last week and is testing monthly resistance. We can expect correction to the downside this week.
4H > Price tested supply zone last week and after rejection has returned back to test same zone again. We can see bearish divergence but must see formation of LL for bearish reversal.
Pair Correlation > NZDCAD has positive correlation with NZDCHF, NZDUSD, NZDJPY, GBPCHF and GBPCAD and negative correlation with EURNZD and GBPNZD.
This was my Idea and I hope you find it useful. If you find the analysis of help please leave a LIKE and FOLLOW for receiving all updates during the week. In the comment section share your view or ask questions.
Thank You
AP17FX
Here is the Top-Down Analysis of NZDCAD (Monthly, Weekly, Daily for direction and 4H for entry) for
Week 49 - Dec 02
M > Market was moving in a downward channel, however price has broken channel to the upside and now testing monthly supply zone.
W > Price has formed two over extended W formations and can see loss of momentum and also bearish divergence. We expect drop in price however in its current bullish move it can continue to rise to test weekly resistance.
D > Market is in overbought state however no sign of reversal can be seen currently. In massive bullish move we must see a reversal on daily chart for a confirmed sign.
As per COT NZD further added both Long and Short bringing Long to the highest for the year, ZXY has gained strength all of November, it is now testing a major resistance level. We can expect some correction to the downside for NZD. CAD added both Long and Short positions, improving net positions though still in -ve. N-R also added both Long and Short greatly improving cumulative net positions, in +ve. CXY strengthened last week and is testing monthly resistance. We can expect correction to the downside this week.
4H > Price tested supply zone last week and after rejection has returned back to test same zone again. We can see bearish divergence but must see formation of LL for bearish reversal.
Pair Correlation > NZDCAD has positive correlation with NZDCHF, NZDUSD, NZDJPY, GBPCHF and GBPCAD and negative correlation with EURNZD and GBPNZD.
This was my Idea and I hope you find it useful. If you find the analysis of help please leave a LIKE and FOLLOW for receiving all updates during the week. In the comment section share your view or ask questions.
Thank You
AP17FX