NZDUSD can’t find a buyer for love nor money but it can’t keep dropping forever. Here’s where we could finally see some support.
If you’ve been trying to knife catch in NZDUSD you’ve probably run out of fingers by now.
There might be some respite coming here at 0.7050/55 and into 0.7030/35.
The confluence of the 38.2 fib of the 2015 swing up and the 61.8 fib of the Nov 2017 move looks good on a technical basis, and more importantly, offers a potentially low risk trade. I haven’t traded kiwi for a while so have all my fingers, so I’m going to look to buy at 0.7055 and then at 0.7035/40. To lower my risk, I’ll stop half on a break of 0.7020 and then add another long in at 0.7010 to test the big figure, with a stop under 0.6990 on it all.
As we say often at ForexFlow, there’s nothing wrong with fighting a trend as long as you trade it accordingly and keep risk as low as possible.