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
Oil - US Crude
Bullish
Wall Street
Bearish
Gold
Bullish
GBP/USD
Mixed
USD/JPY
Bearish
More View more
Real Time News
  • a lot of talk about Burry's short on tsla. I'm more intrigued by the bet on inflation. the tsla trade seems to be getting all of the attention Burry was very early on subprime and also pretty early (but ahead of most of the crowd) on $GME. But, his analysis on both was on point
  • DAX 30 sees record high. EUR/USD takes advantage of USD selling. Get your #DAX market update from @HathornSabin here:https://t.co/2uHZRg8ABr https://t.co/aLpmnOYYti
  • Commodities Update: As of 13:00, these are your best and worst performers based on the London trading schedule: Silver: 0.32% Oil - US Crude: 0.08% Gold: 0.02% View the performance of all markets via https://www.dailyfx.com/forex-rates#commodities https://t.co/pt4D4llGLP
  • $EURUSD finally took out that Fibo resistance 2167, now fresh two month highs. Another fibo nearby, very close to the feb swing high ~2335 concern for continuation is overbought read on h4. but - pullback to support at prior res can keep bulls looking up https://t.co/dh9owX9gAB https://t.co/urrCt77AB8
  • Indices Update: As of 13:00, these are your best and worst performers based on the London trading schedule: FTSE 100: 0.21% US 500: 0.05% Wall Street: 0.04% Germany 30: -0.05% France 40: -0.05% View the performance of all markets via https://www.dailyfx.com/forex-rates#indices https://t.co/win11T070W
  • $GBPUSD with quite the run after last week's 1.4000 test now closing in on three-year-highs https://t.co/KNn3Fu7Dd0 https://t.co/i0QwvlXMB5
  • 🇺🇸 Housing Starts MoM (APR) Actual: -9.5% Previous: 19.8% https://www.dailyfx.com/economic-calendar#2021-05-18
  • 🇺🇸 Building Permits MoM (APR) Actual: 0.3% Previous: 1.7% https://www.dailyfx.com/economic-calendar#2021-05-18
  • IG Client Sentiment Update: Our data shows the vast majority of traders in Silver are long at 87.73%, while traders in Germany 30 are at opposite extremes with 70.35%. See the summary chart below and full details and charts on DailyFX: https://www.dailyfx.com/sentiment https://t.co/SwH1S3xkva
  • Knowing how to accurately value a stock enables traders to identify and take advantage of opportunities in the stock market. Find out the difference between a stock's market and intrinsic value, and the importance of the two here: https://t.co/QszmdZFxlk https://t.co/G81KIYTKId
Highly Tempting Short Set-up in NZD/CAD

Highly Tempting Short Set-up in NZD/CAD

Kaye Lee, Head Forex Trading Instructor

Talking Points:

  • Trend Line Break and Retest on Daily Chart
  • "Hidden" Resistance in Play for NZD/CAD
  • Helpful Validation for Intraday Shorts

Although NZDCAD is in a longer-term uptrend, the pair has recently shown signs of weakening on the daily chart (see below) and appears to be beginning a journey lower to test a longer-term uptrend. As a result, short trades are most preferable now, even though this goes against the longer-term trend.

Guest Commentary: Daily Trend Line Break in NZD/CAD

NZD/CAD has broken and re-tested a short-term uptrend on the daily chart, clearing the way for a possible test of longer-term support.

As shown, the short-term momentum trend line has been broken and retested. Although the general trend is still up, it is wiser to wait for price to reach the longer-term rising support line before attempting new longs. In the meantime, however, intraday shorts are very much in play, as there are approximately 180 pips or more to be had if price does head down to test support.

On the below four-hour chart, there is a line of resistance that is somewhat hidden due to the recent break. Nonetheless, it is valid and is likely to provide at least some kind of reaction when price next arrives there.

Guest Commentary: “Hidden” Trend Line in Play for NZD/CAD

Because of the elasticity uncovered by the previous break, the current resistance area has been estimated as 0.9466-0.9514. This zone is 48 pips deep, which is very reasonable, especially since this is a (somewhat) countertrend trade.

Nonetheless, and as with all countertrend trades, at least two positions should be taken in order to enable traders to scale out swiftly at the first sign of trouble.

The hourly chart below is reassuring, as NZDCAD shows a classic rising wedge pattern while heading up towards the zone of resistance. The slope of the wedge is gradual, and this lends credence to the idea that the rise is only a pullback, and not a return of bullish momentum.

Guest Commentary: Key Validation on NZD/CAD Hourly Chart

A rising wedge pattern on the hourly chart of NZD/CAD lends further validation to intraday short trades in the pair.

The usual entry signals will apply when trading this scenario, meaning bearish engulfing candles, pin bars, and/or bearish reversal divergence will all qualify as legitimate short-entry signals for this trade. Given how large the zone of resistance is, it may require two or three attempts at the entry before ultimately catching the move and getting potential results.

By Kaye Lee, private fund trader and head trader consultant, StraightTalkTrading.com

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

DISCLOSURES