Hello Traders,
Here is the Top-Down Analysis of NZDCAD (Monthly, Weekly, Daily for direction and 4H for entry) for
Week 40 - 30 Sept
M > Market is moving in a downward channel and price has dropped from resistance level of the channel completing the W formation.
W > Price dropped to test monthly support, faced rejection and moved to test weekly resistance. Price also has support of upward trendline.
D > We expected rejection at weekly resistance to get H & S pattern.
As per COT NZD saw closure of both Long and Short increasing net positions whereas Commercials saw closure of Short positions, whereas ZXY was strong for the said week. ZXY fell sharply last week. CAD saw closure of both Long and Short further reducing net positions (which is in -ve since March 2020), N-R saw major closure of Long and few Short and Commercials saw closure of both Long and majorly Short, confirming weakness for the said week. CXY was more weaker last week, however market should reverse bringing CXY to +ve net position. CXY is now testing support level.
4H > Price is now moving down and currently testing demand zone, we expect drop till support trendline.
Pair Correlation > NZDCAD has positive correlation with NZDCHF and negative correlation with EURNZD.
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 you can share your view and ask questions.
Thank You
AP17FX
Here is the Top-Down Analysis of NZDCAD (Monthly, Weekly, Daily for direction and 4H for entry) for
Week 40 - 30 Sept
M > Market is moving in a downward channel and price has dropped from resistance level of the channel completing the W formation.
W > Price dropped to test monthly support, faced rejection and moved to test weekly resistance. Price also has support of upward trendline.
D > We expected rejection at weekly resistance to get H & S pattern.
As per COT NZD saw closure of both Long and Short increasing net positions whereas Commercials saw closure of Short positions, whereas ZXY was strong for the said week. ZXY fell sharply last week. CAD saw closure of both Long and Short further reducing net positions (which is in -ve since March 2020), N-R saw major closure of Long and few Short and Commercials saw closure of both Long and majorly Short, confirming weakness for the said week. CXY was more weaker last week, however market should reverse bringing CXY to +ve net position. CXY is now testing support level.
4H > Price is now moving down and currently testing demand zone, we expect drop till support trendline.
Pair Correlation > NZDCAD has positive correlation with NZDCHF and negative correlation with EURNZD.
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 you can share your view and ask questions.
Thank You
AP17FX
Trade closed: target reached:
Target achieved. Follow updated analysis released early this week.