Daily Market Analysis – Bearish Bat on NZD/USD, good to sell rallies
NZD/USD edged higher to hit 0.73 levels after RBNZ decided to cut money rate by 25 bps to 1.75%, as widely expected and left doors open for more easing in the future. Kiwi quickly faded the whole knee-jerk spike and slipped below 0.73 handle. RBNZ Governor Wheeler’s comments on probably intervention weighed heavily on the prices. Technically, we see scope for downside. Beraish Bat Pattern seen on dailies. 5-DMA is biased lower, along with Stochs and RSI. strong support is seen at 0.7214 (20-DMA). Violation there could see more downside. Major support levels at – 0.7214 (20-DMA), 0.72, 0.7180 (Nov 2 lows) Major resistance levels at – 0.73/ 0.7315 (5-DMA), 0.7390 (Trendline) good to sell rallies around 0.7255/65, Stop Loss: 0.7320, Take Profit: 0.7215/ 0.72/ 0.7180
We see USDJPY going up to 105.859 area to complete a double, respect resistance, then come back down to approximately 103.416 area to my Take profit. I will be placing a sell limit at 105.859.
Eurusd – Short against the election top !
We believe that the euro completed its (e) leg yesterday which means that the big triangle dating back from 2015 is over. it’s very typical for the e wave of a triangle to coincide with some news event like yesterday election ! The euro went up sharply on the news and by the end of the day it had fully reversed all of its gain and even closing lower ! The trend is down currently from yesterday highs and any pull back should be sold ! Closing below the (d) leg will ensure it !
USDCHF Daily Chart
USDCHF Daily Chart will drop to previous support
EURJPY in case you missed the Gartley..
EURJPY in case you missed the Gartley..Now it is the right opportunity to enter short