NZDUSD Outside Day Breakout Trade Opportunity
Prepared by Jamie Saettele, CMT
“There is no need to complicate matters, the NZDUSD traded to its highest level since March 2 and reversed sharply last week. The reversal occurred pips from the close of the day that produces the high so far for 2012 (2/29/12 at 8341…today’s high was 8356). A key reversal with several volatility conditions attached, JSpike, occurred Friday as well. A break of 8185 would signal that a top is probably in place. Focus would then shift to 8010 and 7800.” Tuesday’s action, an outside day and failure for the 6th day in the last month near 8340 makes it quite clear that the NDDUSD faces significant impediments to further upside. I am looking lower from the current level.
LEVELS: 8127 8183 8254 8294 8322 8356
DailyFX provides forex news and technical analysis on the trends that influence the global currency markets.