TRADING THE NEW ZEALAND DOLLAR’S NEXT BIG MOVE USING OUR FOREX TRADING SIGNALS
We had a wonderful trade on our last technical blog where traders were sitting pretty and have taken good profits from the foreign exchange market. The sentiment on the New Zealand Dollar Vs. The U.S. Dollar (NZD/USD) last week was very even, as the price upon the market open on Monday was at approximately the same level as the price when it closed on Friday. NZD/USD had been in a steep bearish trend before last week and we believe a trend reversal could take place anytime soon.
This week we are looking for a fresh opportunity on the NZD/USD pair, a fantastic breakout opportunity has presented itself to us, and we would like to share this opportunity with you. The Kiwi is on the verge of making a big move and we are looking to fill you in on how Platinum approaches this type of foreign exchange market opportunity.
THE NEW ZEALAND DOLLAR: WHAT EVERY FOREX TRADER NEEDS TO KNOW
Fundamental Point of View on NZD/USD:
This week, we have no major fundamental news specifically for the New Zealand Dollar. Therefore, we will focus on looking at the news in the US which will have a vital part to play in the foreign exchange market and the movements of the currency pair.
New Home Sales in the United States: Wednesday, 14:00.
The sales of new homes trigger a lot of wider economic activity, such as the amount of spending on infrastructure, and therefore it is correlated with the wider economy in the country. After achieving an annualised level of 694K sales in March, a small slowdown to 680K is expected to be on the cards for April.
The FOMC Meeting Minutes: Wednesday, 14:30.
The FOMC is a key event in the foreign exchange market and here’s why beginners to professional traders should all be looking at the event: The FOMC Meeting Minutes are a detailed record of the FOMC’s most recent meeting, providing in-depth insights into both the economic and financial conditions that influenced their vote on where to set interest rates.
The Federal Reserve publishes minutes from its meeting in early May when it decided to leave the interest rate unchanged and made some subtle changes to the statement, such as describing the inflation target as symmetric, a wording that triggered speculation that the Fed will tolerate higher rises in prices after a long period of low inflation. Markets will also want to hear a message that the hike in June is on track. It is priced in.
Technical Point of View on the NZD/USD
From the daily chart, we can see the inverse head and shoulders pattern that previously formed. We have been in a steep bearish trend on this pair for the last month or so. We are now looking for a distinct reversal change. The bottom for our prediction should be the 0.6850 level, it is showing major demand with a great probability of moving higher from there.
Our NZD/USD Forex Trading Strategy
Trade Entry: Long NZD/USD @ 0.6850 with a 40 pip stop loss and a target of 0.7080
Key Technical Levels on the NZD/USD
- 0.6930 – Short-term Selling Level
- 0.6970 – Short-term Selling Level
- 0.7040 – Short-term Selling Level
- 0.7090 – Long-term Selling Level
When trading the foreign exchange market, it’s important to continuously manage your level of risk and only trade with money you can afford to lose. We spend inordinate amounts of time perfecting our forex signal services and provide our clients with live opportunities in the foreign exchange market containing clear and concise buy or sell orders in real time.
If you’ve only just started trading on the foreign exchange market, or have yet to choose a forex broker and open your trading account, then we recommend reading our Forex for Beginners guide to make sure you get started with your trading career the right way.
How to become a profitable Trader.
If you are a new trader and would like to learn how to trade, then sign up today to our 2-day free Foundation to Forex Trading Course. We have just introduced this as in the last month we have had a lot of inquiries on learning how to trade the financial markets. We can get you on the successful path of becoming a Financial Trader.
The Platinum Formula:
Perfect Fundamentals + Perfect Technical Analysis + Perfect Logic + Perfect Risk Management = Perfect Trade
THE PLATINUM WAY
At Platinum, we teach all individuals from different walks of life to become a full-time trader or create a secondary revenue stream by trading part-time. We trade in an Institutional Way by letting the market come to us and being patient. Using Platinum’s Trading system you can take many Pips out of the market. We can ensure using this style of trading your trading will make a turnaround as you will become much more consistent.
If you want to trade like the professionals do, making consistently profitable returns from your trading, get in touch with us and we will demonstrate live exactly how we approach the markets.
Hopefully, you have enjoyed today’s article. Thanks for reading!
Have a fantastic day!
Live from the Platinum Trading Floor.