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.

Free Trading Guides
Oil - US Crude
More View more
Real Time News
  • I'm keeping this visual marker of the US-China December 15 deadline for the former increasing the tariff list on the latter if no deal is struck. $USDCNH https://t.co/ryK4BeXyCI
  • My fears of that impending December 15th tariff escalation are not soothed... https://t.co/3RLJx3mWDz
  • President Trump says US is doing well in trade talks with China $SPX #Tradewar
  • Indices Update: As of 19:00, these are your best and worst performers based on the London trading schedule: Germany 30: -0.05% France 40: -0.07% US 500: -0.13% Wall Street: -0.20% View the performance of all markets via https://www.dailyfx.com/forex-rates#indices https://t.co/GFResmiSGX
  • RT @CNBCnow: CORRECTION: White House & Democrats near tentative deal on USMCA, sources say; a deal has not yet been reached. https://t.co/…
  • RT @EdwardLawrence: Watch FOX Business at the top of next hour for the latest on USMCA as well as looking at Dec 15th deadline for China. A…
  • RT @CNBCnow: BREAKING: White House & Democrats reach tentative deal on USMCA trade deal; House could vote on it on Dec. 18 - sources (via @…
  • $GBPUSD and $EURUSD look to have constructive Elliott wave patterns https://www.dailyfx.com/forex/video/live_events/2019/12/09/gbpusd-eurusd-bullish-elliott-wave-patterns-JWweb-127.html https://t.co/OqumwFBDJe
  • While Sterling is expected to appreciate further if PM Johnson get his currently predicted majority, the likelihood is that the rally will be muted after the recent strong performance of the $GBP. Get your market update from @nickcawley1 here:https://t.co/m5ERBq4R6S https://t.co/lGviXc7dDT
  • IG Client Sentiment Update: Our data shows the vast majority of traders in Ripple are long at 97.95%, while traders in US 500 are at opposite extremes with 77.08%. See the summary chart below and full details and charts on DailyFX: https://www.dailyfx.com/sentiment https://t.co/zBAeVA9GKV
NZD/USD Awaits RBNZ: Game Plan & Levels to Know

NZD/USD Awaits RBNZ: Game Plan & Levels to Know

2017-03-22 16:58:00
Michael Boutros, Technical Strategist

Talking Points

  • NZDUSD weekly opening range in focus ahead of RBNZ- broader risk lower sub-7160
  • Updated targets & invalidation levels
  • Looking for more trade ideas? Review DailyFX’s 2017 Trading Guides. Join Michael for Live Weekly Trading Webinars on Mondays at 13:30GMT (8:30ET)

NZDUSD 240min

NZDUSD 240min Chart

Technical Outlook:The RBNZ interest rate decision is on tap in just a few hours and heading into the release the focus is on the 7010-7075 weekly opening range. Our broader outlook remains weighted to the short-side while below the upper median-line parallel / 75% line (currently ~7160s – note the 200-day moving average stands at 7151) with a break sub 6952 needed to mark a more meaningful reversal in the pair.

From a trading standpoint, I’d be looking to fade a knee-jerk reaction higher into structural resistance near the upper parallel with a break lower targeting 6900, 6861 & the 2016 open at 6828. Keep in mind that the central bank is widely expected to hold the official cash rate at 1.75% and as such, the focus will be on the accompanying commentary as it pertains to the growth outlook and signs that the underlying inflation pressures are lifting. That said, any shift in tone from Governor Wheeler could fuel some volatility here so look for the initial reaction to offer clues. A breach / close above 7200 would be needed to keep a long-bias in play and mark a more prominent breakout in the pair

  • A summary of the DailyFX Speculative Sentiment Index (SSI) shows traders are net-long NZDUSD- the ratio stands at +1.1 (52.4% of traders are long)- weak bearish reading
  • Traders have been net-long since March 2nd when Kiwi was trading near 7116- Since then, the pair has fallen 1.2% lower
  • Long positions are 13% lower than yesterday and 32.3% lower from last week
  • Short positions are 20.2% higher than yesterday and 28.2% higher from last week
  • While SSI continues to point lower, it’s important to note that the recent build in short exposure has seen the ratio come off considerably from recent extremes seen this month and leaves the broader short-bias at risk heading into today’s release.


Relevant Data Releases

NZD/USD Awaits RBNZ: Game Plan & Levels to Know

Other Setups in Play:

- Written by Michael Boutros, Currency Strategist with DailyFX

Follow Michael on Twitter @MBForex contact him at mboutros@dailyfx.com or Click Here to be added to his email distribution list.

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


News & Analysis at your fingertips.