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.

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
EUR/USD
Bullish
Oil - US Crude
Bullish
Wall Street
Mixed
Gold
Bearish
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
GBP/USD
Mixed
USD/JPY
Mixed
More View more
Real Time News
  • The #AustralianDollar may continue to outperform its haven-associated counterparts after breaking above key chart resistance. $AUDUSD, $AUDJPY, $AUDCHF levels to watch. $AUD https://www.dailyfx.com/forex/technical/home/analysis/aud-usd/2020/09/21/Australian-Dollar-Time-Cycle-AUDUSD-AUDJPY-AUDCHF-Key-Levels.html?CHID=9&QPID=917708&utm_source=Twitter&utm_medium=Moss&utm_campaign=twr https://t.co/wfa6HxnANh
  • HSBC share price tumbled 3.2% after Chinese media agency Global Times reported that Beijing is considering putting HSBC into its Unreliable Entity List (UEL). Hang Seng Index fell 0.7% in early Asia trading hours. https://t.co/zrUCkWmH1w
  • Join @ZabelinDimitri 's #webinar at 11:30 PM ET/3:30 AM GMT to find out how geopolitical risk will affect the markets in the week ahead. Register here: https://t.co/hsULxMNOtM https://t.co/Dx6UMk2g1c
  • Commodities Update: As of 02:00, these are your best and worst performers based on the London trading schedule: Silver: 0.53% Oil - US Crude: 0.35% Gold: 0.17% View the performance of all markets via https://www.dailyfx.com/forex-rates#commodities https://t.co/BjCmKqaBM8
  • The two-day closure of the Japanese markets suggests that liquidity in both equity and forex could be thin, rendering #USDJPY and #Nikkei225 futures susceptible to large swings, should there be surprising news. Read more here: https://www.dailyfx.com/forex/market_alert/2020/09/21/Nasdaq-100-to-Test-100-Day-SMA--Hang-Seng-and-ASX-200-May-Open-Flat.html https://t.co/5fTJl1ytSe
  • Forex Update: As of 02:00, these are your best and worst performers based on the London trading schedule: 🇬🇧GBP: 0.25% 🇦🇺AUD: 0.24% 🇯🇵JPY: 0.20% 🇪🇺EUR: 0.16% 🇳🇿NZD: 0.14% 🇨🇭CHF: 0.11% View the performance of all markets via https://www.dailyfx.com/forex-rates#currencies https://t.co/ajs1wgZFD2
  • #Market Snapshot Broad risk-on tilt to kick off a fresh week of trade as the risk-sensitive $AUDUSD jumps back above the 0.73 mark. Haven-linked $USD drifting lower against its major counterparts while $JPY attempts to peg back lost ground. https://t.co/yWVnyRKfbT
  • The US #Dollar may fall if demand for haven-linked assets fall after testimonies from Powell and Mnuchin to the House. Better-than-expected data may compound the Greenback’s selling streak. Get your #currencies update from @ZabelinDimitri here: https://t.co/HRjFvPKlvx https://t.co/n2IMVDqpZn
  • IG Client Sentiment Update: Our data shows the vast majority of traders in Ripple are long at 97.06%, while traders in NZD/USD are at opposite extremes with 71.11%. See the summary chart below and full details and charts on DailyFX: https://www.dailyfx.com/sentiment https://t.co/eoCmgXp0MN
  • There is a great debate about which type of analysis is better for a trader. Is it better to be a fundamental trader or a technical trader? Find out here:https://t.co/7kPzAoNoLG https://t.co/QVVQkoSwMW
NZD/CAD Trading Around Importance Price Level

NZD/CAD Trading Around Importance Price Level

2016-07-12 19:50:00
Quasar Elizundia, Currency Analyst
Share:

Interested in becoming a better trader? Check out the guide that DailyFX compiled from the traits that characterized the Most Successful Traders.

Talking Points:

  • NZD/CAD Fails To Break Previous Week High Level.
  • RSI Starts To Show Momentum Loss To The Upside
  • Support And Resistance Trend Lines Mark Importance Zone Level For NZD/CAD

Short-Term Technical Outlook:

After closing the previous week with two great days to the upside, the NZD/CAD cross seems to be now starting to favor the Canadian dollar this week. This lack of strength to the upside in the cross can be observed in the chart below as at the start of this week the cross failed to reach higher price levels and in addition, RSI has now started posting lower levels on extreme upside prices, signal that could be interpreted as a call for NZD weakness.

As an extra signal, at the middle of today’s U.S. trading session, the cross has broken below the prevailing upside trend line and now it has started using it as a resistance level.

NZD/CAD 15 Minute Chart:

NZD/CAD Trading Around Importance Price Level

(Created Using Marketscope 2.0)

NZD/CAD Daily Chart:

NZD/CAD Trading Around Importance Price Level

(Created Using Marketscope 2.0)

Long-Term Technical Outlook:

As observed in the chart above, NZD/CAD is currently sitting in a confluence zone of great importance. Two important trend lines comprise this level. The first one is the down sloping resistance line from the 2014, 2015 and 2016 high price levels. On the second hand, we have the Support Trend Line from the all-time low of February 2009. As we can see, each one of these Trend Lines has proven to be of key importance in NZD/CAD price action over the last few years.

Bottom Line:

Given that we are starting to see a loss of momentum in the short-term for the NZD/CAD and in the long-term technical picture the cross is right at a confluence technical level, the cross is likely to start showing more momentum to the downside in the upcoming sessions.

Tomorrow both economies will release economic data. Depending in the results, a surprise release could work as a catalyst for a strong movement in the cross.

In a contrary scenario, if the BoC comes out with a dovish tone in its Monetary Policy Report, this could lead the cross to break higher through this confluence zone and should alert traders that the cross might be looking to reach levels around the 2014 all-time high.

Interested in knowing which are the Top Trading Opportunities of 2016? Click HERE!

Written by Quasar Elizundia

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

DISCLOSURES