Source: PaxForex Premium Analytics Portal, Fundamental Insight
New Zealand Retail Sales for the third quarter decreased 8.1% quarterly and 5.2% annualized. Forex traders can compare this to New Zealand Retail Sales for the second quarter, which increased 3.3% quarterly and 33.3% annualized.
The Preliminary US Markit Manufacturing PMI for November is predicted at 59.0, and the Preliminary US Markit Services PMI at 59.0. Forex traders can compare this to the US Markit Manufacturing PMI for October, reported at 58.4, and the US Markit Services PMI at 58.7.
The forecast for the NZD/USD turned bullish after this currency pair corrected into its horizontal support area, and price action deflated bearish momentum. After the breakdown below its ascending Ichimoku Kinko Hyo Cloud, the Senkou Span B extended its gradual increase, and the cloud has set a higher high. Short-term volatility is likely to remain with the Tenkan-sen and the Kijun-sen descending while maintaining their position above the cloud. The CCI dropped into extreme oversold territory, pushed above, and corrected once again. With underlying bullish fundamental developments on the rise, traders should wait for a new breakout above -100 before buying this currency pair. Will bulls regain control and force the NZD/USD to the upside? Subscribe to the PaxForex Daily Fundamental Analysis and earn over 5,000 pips per month.
Should price action for the NZD/USD remain inside the or breakout above 0.6910 to 0.6975 zone, PaxForex recommends the following trade set-up:
- Timeframe: D1
- Recommendation: Long Position
- Entry Level: Long Position @ 0.6940
- Take Profit Zone: 0.7105 – 0.7150
- Stop Loss Level: 0.6875
Should price action for the NZD/USD breakdown below 0.6910, PaxForex recommends the following trade set-up:
- Timeframe: D1
- Recommendation: Short Position
- Entry Level: Short Position @ 0.6875
- Take Profit Zone: 0.6785 – 0.6810
- Stop Loss Level: 0.6910
Open your PaxForex Trading Account now and add this currency pair to your forex portfolio.
