RBNZ in last meeting left the rate unchanged at 2.75%, and signaled a potential rate cut in this meeting : Likely, and market anticipates they will cut rate next meeting by 25bp to 2.5%
The recent rally of NZDUSD didn't reflect a rate cut decision, why don't trade price for rate cut ? In contrast, they drove Kiwi higher.
Big question, but simply answer.
Traders like me don't believe RBNZ would cut rate, or at least they think the rate cut decision is clear and don't need to pricing.
I think Traders will drive NZDUSD higher to the critical point I draw on the chart : 0.6900
0.6900 is a strong .
SMA200 + 38.2% Fib retracement is at there.
6 month high is also at there.
the critical point is where I look for SELL opportunity at high level.
Why don't I BUY ?. Because I don't see a good point to place stop loss.
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