It took 6 years plus for this pair to break out of its bearish trend. As the dollar continues to
fall further, then, NZDUSD will continue to rise (ie. bullish). In the short term, USD will rebound, meaning all pairs against USD will fall.
However, I think the rebound for USD will be weak and will continue to fall again. This trade idea will be invalid the moment the price returns back towards the bearish trend line. That means, it is a fake breakout which we will not know for now.
So, wait for the news next week and get ready your ammunition to short or buy. I am still quite optimistic about this pair.
fall further, then, NZDUSD will continue to rise (ie. bullish). In the short term, USD will rebound, meaning all pairs against USD will fall.
However, I think the rebound for USD will be weak and will continue to fall again. This trade idea will be invalid the moment the price returns back towards the bearish trend line. That means, it is a fake breakout which we will not know for now.
So, wait for the news next week and get ready your ammunition to short or buy. I am still quite optimistic about this pair.
Comment:
Nice retracement. Now we wait for it break out of the resistance first.