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
EUR/USD
Bearish
GBP/USD
Bullish
USD/JPY
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
Gold
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
Bitcoin
Mixed
More View more
Real Time News
  • Trade deal bets kept the Singapore Dollar, Philippine Peso, Indonesian Rupiah and Malaysian Ringgit afloat despite $USD strength. This is the key fundamental driver for #ASEAN FX.Get your market update from @ddubrovskyFX here: https://t.co/aB8qP3JsB4 https://t.co/oAF2XxyNak
  • European Opening Calls from IG: #FTSE 7330 +0.51% #DAX 13262 +0.62% #CAC 5932 +0.52% #AEX 599 +0.61% #MIB 23636 +0.66% #IBEX 9217 +0.47% #STOXX 3712 +0.63%
  • The $USDINR rate could rise as the Nifty 50 sinks after Indian Industrial Production shrank by the most since 2011, fueling RBI rate cut bets amid the ongoing US-China trade war. Get your market update from @ddubrovskyFX here:https://t.co/1PzYH3xCdV https://t.co/AqdtzJN0w1
  • (Analyst Pick) USD/JPY Outlook Bearish on Yen Chart Breakout, Trade Wars $USDJPY #Yen #TradeWars - https://www.dailyfx.com/forex/analyst_picks/todays_picks/daniel_dubrovsky/2019/11/15/USDJPY-Outlook-Bearish-on-Yen-Chart-Breakout-Trade-Wars.html?CHID=9&QPID=917702 https://t.co/5CKAA0e7Pc
  • #GBP, #NOK and #SEK are expected to be the most-active #G10 currencies against the #USD with one-week implied volatility at 7.85, 7.82 and 7.15 respectively [delayed]
  • IG Client Sentiment Update: Our data shows the vast majority of traders in Ripple are long at 97.63%, while traders in France 40 are at opposite extremes with 87.34%. See the summary chart below and full details and charts on DailyFX: https://www.dailyfx.com/sentiment https://t.co/wyEJd6C1d2
  • Forex Update: As of 05:00, these are your best and worst performers based on the London trading schedule: 🇨🇦CAD: 0.18% 🇦🇺AUD: 0.10% 🇳🇿NZD: 0.05% 🇬🇧GBP: -0.00% 🇨🇭CHF: -0.11% 🇯🇵JPY: -0.14% View the performance of all markets via https://www.dailyfx.com/forex-rates#currencies https://t.co/PmNFR94G9T
  • Indices Update: As of 05:00, these are your best and worst performers based on the London trading schedule: France 40: 0.49% Germany 30: 0.49% US 500: 0.37% Wall Street: 0.35% View the performance of all markets via https://www.dailyfx.com/forex-rates#indices https://t.co/36B4iG0q0W
  • A chart from my trading video for today ('S&P 500 Trading Quiet and Divergence Builds Pressure, Dollar, Aussie and Kiwi Drop' https://www.dailyfx.com/forex/video/daily_news_report/2019/11/15/SP-500-Trading-Quiet-and-Divergence-Builds-Pressure-Dollar-Aussie-and-Kiwi-Drop.html?CHID=9&QPID=917719) showing $EURUSD and the Euro volatility index https://t.co/2uMzpD4tuC
  • Why should you set trading goals? How can it help regardless of what your #tradingstyle is? Find out: https://t.co/AYdD7ODlv1 https://t.co/MS0SW4Fozm
NZD/USD Sentiment at Extremes Ahead of RBNZ- Levels to Know

NZD/USD Sentiment at Extremes Ahead of RBNZ- Levels to Know

2017-06-21 17:30:00
Michael Boutros, Technical Strategist
Share:

Talking Points

NZD/USD Daily

NZD/USD Sentiment at Extremes Ahead of RBNZ- Levels to Know

Technical Outlook:Kiwi failed an attempted breach above trendline resistance extending off the 2016 highs last week with the pair continuing to hold just below heading into the RBNZ interest rate decision later today. Sentiment on NZDUSD is extremely heavily weighted on the short-side (lowest on record) and as such, we’ll take a more neutral stance ahead of the decision while noting the threat for a pullback while below the 2017 high-day reversal close at 7301.

NZD/USD 120min

NZD/USD Sentiment at Extremes Ahead of RBNZ- Levels to Know

Notes: A closer look at price action sees the pair in consolidation after last week’s failed breach with near-term slope highlighting support at 7204 (August 30th swing lows). A break below this mark targets key near-term support at 7166/70 where the 100% extension of the decline converges on former swing lows and the longer-term 50-line of the broader ascending pitchfork. We’ll reserve this threshold as our broader bullish invalidation level.

Resistance stands at today’s high ~7250 with a breach above the triangle resistance at ~7275/80 needed to mark resumption of the broader up-trend. From a trading standpoint, I would be interested in fading weakness / buying a pullback into structural support near the median-line on a knee-jerk RBNZ reaction.

NZD/USD Sentiment at Extremes Ahead of RBNZ- Levels to Know
  • A summary of IG Client Sentimentshows traders are net-short NZD/USD- the ratio stands at -5.59 (15.2% of traders are long / record low)- bullish reading
  • Retail has been net-short since May 24th; price has moved 4.2% higher since then
  • Long positions are 10.3% lower than yesterday and 25.7% lower from last week
  • Short positions are 2.9% higher than yesterday and 35.0% higher from last week
  • Traders are further net-short than yesterday and last week with the combination of current sentiment and recent changes offering a strong NZDUSD bullish contrarian trading bias. That said, price is at resistance, and if the pair pulls back, look for an accompanied build in long-positions for further conviction.

See how shifts in NZD/USD retail positioning are effecting market trends- Click here to learn more about IG Client Sentiment indicators!

---

Relevant Data Releases

NZD/USD Sentiment at Extremes Ahead of RBNZ- 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.

DISCLOSURES

News & Analysis at your fingertips.