News & Analysis at your fingertips.

We use a range of cookies to give you the best possible browsing experience. By continuing to use this website, you agree to our use of cookies.
You can learn more about our cookie policy here, or by following the link at the bottom of any page on our site. See our updated Privacy Policy here.

0

Notifications

Notifications below are based on filters which can be adjusted via Economic and Webinar Calendar pages.

Live Webinar

Live Webinar Events

0

Economic Calendar

Economic Calendar Events

0
Free Trading Guides
Subscribe
Please try again
EUR/USD
Bullish
Low
High
of clients are net long.
of clients are net short.
Long Short

Note: Low and High figures are for the trading day.

Data provided by
Oil - US Crude
Bearish
Wall Street
Mixed
Gold
Mixed
GBP/USD
Mixed
Low
High
of clients are net long.
of clients are net short.
Long Short

Note: Low and High figures are for the trading day.

Data provided by
USD/JPY
Bullish
Low
High
of clients are net long.
of clients are net short.
Long Short

Note: Low and High figures are for the trading day.

Data provided by
More View more
Real Time News
  • #Dogecoin up over 13% as Elon Musk tweets he is working with #Doge devs to improve system transaction efficiency, adding it is 'potentially promising' This is a day after #Tesla suspended Bitcoin payments for vehicle purchases, courtesy of @FxWestwater - https://www.dailyfx.com/forex/fundamental/daily_briefing/daily_pieces/asia_am_briefing/2021/05/12/Bitcoin-BTC-Plunges-on-Tesla-Bitcoin-Suspension-AUDUSD-Spars-USD-Strength.html?CHID=9&QPID=917702&utm_source=Twitter&utm_medium=Dubrovsky&utm_campaign=twr https://t.co/NlPFPbGGSL
  • RT @Yeap_IG: Historical 10-2 #Treasury spread after each recession may suggest further room for upside for 10-year #yield from current leve…
  • 10 out of 11 S&P 500 sectors ended higher, with 88.1% of the index’s constituents closing in the green. Industrials (+1.90%), financials (+1.87%) and utilities (+1.79%) were among the best performers, whereas energy (-1.35%) trailed behind. https://t.co/HUPMnYAEsL
  • US Dollar Outlook: DXY Index Eyes Retail Sales Data, Yields -via @DailyFX Link to Full Analysis: https://www.dailyfx.com/forex/fundamental/us_dollar_index/usd_trading_today/2021/05/13/us-dollar-outlook-dxy-index-eyes-retail-sales-data-yields.html $USD #Forex #Trading https://t.co/10Hb8pYSp1
  • 🇳🇿 Business NZ PMI (APR) Actual: 58.4 Previous: 63.6 https://www.dailyfx.com/economic-calendar#2021-05-13
  • The Japanese Yen may fall against its major peers, but there is room for a near-term climb that wouldn’t necessarily overturn a bearish technical bias. USD/JPY is eyeing support. Get your market update from @ddubrovskyFX here:https://t.co/AEnQCXnwAL https://t.co/kUV7xoSWxZ
  • Heads Up:🇳🇿 Business NZ PMI (APR) due at 22:30 GMT (15min) Previous: 63.6 https://www.dailyfx.com/economic-calendar#2021-05-13
  • Chile central bank holds rate at 0.5% - BBG
  • The S&P 500 has broken beneath an important trendline from March 2020 as losses mount. Get your S&P500 market update from @PeterHanksFX here:https://t.co/aAc3vrKr7M https://t.co/RwQajLrpJy
  • USD/CAD briefly traded up to 1.22 before retreating to its current level around 1.216 $USDCAD https://t.co/eNc4JmYfKI
Trendline Trading: GBP NZD

Trendline Trading: GBP NZD

Walker England, Trading Instructor,

Trading trends is an excellent method of execution for traders looking to take advantage of the long term momentum of a currency pair. Currently, one of the strongest trends developing in the Forex market has been the GBPNZD. The pair has dropped as much as 1773 pips from its May 2012 high at 2.1058. The pair at present is trading 215 pips higher, off its June low of 1.9285. As the pair moves against the prevailing trend, traders will look for fresh technical levels to enter new sell positions. One of the ways we can do this is by finding resistance in a downtrend, using a trend line.

Trendline_Trading_GBPNZD_body_Picture_2.png, Trendline Trading: GBP NZD

Pictured below is an 8Hour chart for the GBPNZD. To aid in the analysis of our established downtrend, we have connected a series of common swing highs to form a resistance trendline. Once the trend line is established, traders can look to take new sell positionsonce price moves up to this point of resistance, so long that a candle body does not close above it. A break of this trendline would invalidate our analysis at least temporarily and traders would be best to look for other opportunities elsewhere.

Trendlines can also be used in conjuncture with other forms of support and resistance. Below we have included a Fibonacci retracement in conjunction with our trend line analysis. Traders can look to place entry orders to sell were these two forms of resistance meet. This way using an entry as opposed to a market order, traders do not have to actively monitor their charts in anticipation of taking a new position.

Trendline_Trading_GBPNZD_body_Picture_1.png, Trendline Trading: GBP NZD

My preference is to sell the GBPNZD near where our trendline and Fibonacci resistance converge, at 1.9570. Stop orders can be set above resistance of our resistance line under 1.9700. Profit targets should look for a minimum 1:2 Risk/Reward ratio, with first profit targets near the previous low.

Alternative scenarios include price breaking higher, temporarily concluding the mentioned downtrend.

---Written by Walker England, Trading Instructor

To contact Walker, emailinstructor@dailyfx.com. Follow me on Twitter at @WEnglandFX.

To be added to Walker’s e-mail distribution list, send an email with the subject line “Distribution List” to instructor@dailyfx.com

DailyFX providesforex newson the economic reports and political events that influence the currency market. Learncurrency tradingwith a free practice account and charts from FXCM.

DailyFX provides forex news and technical analysis on the trends that influence the global currency markets.

DISCLOSURES