Fan Yang
0
All posts from Fan Yang
Fan Yang in Fan Yang,

NZD/USD Technical Set up

As the majors like EUR, GBP, and AUD fell against the USD, the NZD has been uniquely resilient. 

However, it is still stuck in the middle of a directionless market.

I am looking for some extension of the current bullish run before considering selling in a range-trading mode.

The daily chart shows a slight bullish bias with price above the 200-day SMA, but the flatness of the moving average line reflects a sideways market. 



(NZD/USD daily chart: click to view full size)

Anticipating another rally:

In the short-term NZD/USD looks bullish, so I want to anticipate another run before considering shorting based on overbought conditions at resistance factors.

I want to wait for the stochastic and RSI oscillators to be both overbought.

Also, I would anticipate a swing projection of the February rally toward 0.8550. 

This price level should also coincide with a projected resistance that is more clearly seen in the weekly chart.

(NZD/USD weekly chart: click to view full size)

If the market never makes another bullish run, you can anticipate buying from a bearish run toward the 200-week SMA, and the projected triangle support seen in the weekly chart. For now, I wait.