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NZD/USD: the pair is growing 13.10.2017
Good afternoon, dear forum visitors!
NPBFX offers the latest release of analytics on the NZD/USD for a better understanding of the current market situation and more efficient trading.
Current trend
During the trading session on October, 13, New Zealand dollar is strongly growing against the US one, renewing its highs since October, 5. The instrument is supported by the weak positions of USD, which is waiting for the consumer inflation data publication at 14:30 (GMT+2).
The more steady growth was prevented by the US Producer Price Index and Initial Jobless Claims data, published yesterday. The rapid growth of producer price let the investors hope that the consumer inflation will exceed the expectations in September.
During the Asian trading session on October, 13, the poor China statistics, which reflected the strong fall of the balance surplus, affect the NZD positions.
Support and resistance
On the daily chart Bollinger Bands are slightly reversing into flat. The price range is narrowing rapidly, reflecting the change of the trend in the short term. At the moment the indicator doesn’t contradicts with the further growth of the pair, but reflects the strong resistance level around the middle line of the indicator.
MACD is growing, keeping a strong buy signal (the histogram is above the signal line). It’s better to keep opened long positions and open new ones in the short or very short term.
Stochastic’s dynamics is the same, it’s reaching its highs. Despite the almost vertical growth, short term “bulls” have enough potential to development in the nearest two trading sessions.
Resistance levels: 0.7144, 0.7181, 0.7215, 0.7242.
Support levels: 0.7100, 0.7053, 0.7035.
Trading tips
Long positions can be opened after the steady breakout of the current resistance level, such as 0.7144, with the targets at 0.7215–0.7242. Stop loss is 0.7100. Implementation period: 2 days.
The rebound at the level of 0.7144 can be a signal to return into sales with the targets at 0.7053–0.7035. Stop loss is 0.7185. Implementation period: 2 days.
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