Another cross that has been good to me lately. Maybe in need of a little reality check up here, therefore I’m searching out a short position.
Price has stalled at the fib combo around the big figure 80.00 and we cant rule out a bounce, yet I like the idea of selling into any strength – or alternatively any further breakdown.
The pair of fibs in question (blue area) are the 2017 July / September high points to the November lows. 50%-38.2% respectively. A rise towards the blue trendline around 80.70 would be a better entry if the chance presents itself.
NZDJPY 4 Hour
Collects more scalps than Crazy Horse and newly crowned Bitcoin & Dow top calling master.
Philosophy: "Trading rules.....it most certainly does"
Read how Horatio got into trading here
Philosophy: "Trading rules.....it most certainly does"
Read how Horatio got into trading here
Latest posts by Horatio Dubsly (see all)
- Silver – This weeks shining star, as predicted by ForexFlow - July 19, 2019
- 新年快乐 财源滚滚 大吉大利 A Happy wealthy healthy New Year to all our Chinese friends - February 4, 2019
- Gold and Silver – Glittering prizes? - January 28, 2019
Hello Horatio,
How are things? It seems NZ$ is capped vs. JPY, especially when it could not break above 2008’s high (so far) 81.50 handle.
I find myself not to be ‘that’ efficient when it comes at Fibonacci usage, however, I love playing with perspectives. Therefore, a few observations if I may:
1)Let’s rewind this tape a little bit, 2015 highs 83.35, then 2016 highs 83.71 and later, 2017 highs 83.88 if those figures make any sense either 83s has a pact with someone at Davos or something is going on there.
2)Clearly, 50-EMA on the Monthly chart is going to advocate in favour of protecting its dairy buddy aka NZ$ near 78.73 so short-sellers could get ‘slap’ there too.
3)However, this whole YCC, Kuroda and Bond Bear Market (from now on BBM) makes me think/feel at least in the short-term things ain’t working for those long Yen crosses including USDJPY.
Not sure if my observations are founded or I am just two many bottles of wine in to my post 🙂 Enjoy your weekend.
Are you a whiskey or wine guy?
NZDJPY
https://uploads.disquscdn.com/images/5c6036b1d69625c638308f9bf1ce1a00b758767703f76b589faac09e2d87cb3d.png
Hola Brazil and Jose -:)
Thank you for the fine analysis…….I never know how many bottles of wine is too much, but I save the drinking until after the trading of course LOL.
I’m more of a vino than a whisky guy although if someone else is paying the tab, I find myself (surprisingly) not at all picky -)
Fibonacci work far better when you find levels with combinations converging from different swing highs / lows…… They can be a cruel mistress when viewed on their own, but using fibs with trendlines, support resistance, and/or Candle structure can be a very powerful indicator when used together.
+60 ‘short’ NZDJPY, let’s see how things evolve next week. Enjoy your weekend, same for the rest of the team at ForexFlow
Thanks Jose, you too.