Relatively quite trading day …
The market has been relatively quiet during the week so far, except for a few specific currencies.
During today’s Asian session the main focus was the recent NBNZ Business Outlook which came out pretty negative for the NZD.
For those of you who follow our forecasts will know that we have been short on the NZD for the last two weeks.
At the moment there is still a lot of focus on the risk sentiment in the market with the trade war issues so keep an eye on that.
Important Scheduled Economic events during today’s session to keep an eye on:
10:30 (SAST) | BOE Gov Carney press conference on Financial Stability Report (given last week’s interesting BOE rate vote change this press conference is very important)
Our pair selection for today:
We have chosen the AUDNZD as one of the pairs we will be watching closely today to look for trading opportunities.
AUDNZD – H4
AUDNZD – H1
Further comments on our pair selection:
Both the AUD and NZD has taken a beating with the recent risk sentiment. However, we have a more bullish view on the AUD versus the NZD.
After this morning’s Business Outlook came out very negative (lowest reading from 2008), we are long on the AUDNZD.
Currently we are looking for more long opportunities if the market should get back to key support areas.
Any drastic changes to the recent risk sentiment would have a big impact on this trade idea so keep a close eye on those.
Also, technically the pair is close to very important support levels on the daily and weekly charts, so keep that in mind if you are planning to hold the trade.
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Risk Disclaimer: Forex Trading carries a high level of risk. It is possible for traders to lose entire trading accounts if they do not know what they are doing. This post is not an enticement, signal or recommendation to buy or sell any financial instruments. All of the information in this post should only be considered as general market commentary and should never be used as trading or financial advice.
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