* Like always, I combine technical analysis with fundamental analysis, and I believe this is an optimal and an intelligent way to trade.
NZ Rate Cute - What to look for: (1) Dovish Tone and a Rate Cut (2) Hint from the central bank of further easing and further cuts. The New Zealand central bank could not do it before for fear of fueling and already housing bubble. A strong NZD would hurt demand and knock down tradable goods inflation. Thus, a decline in the New Zealand dollars necessary to keep the economy afloat.
I maintain a short position and will continue to add to it at key levels.
Transakcja zakończona: osiągnięto poziom stop
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The rate cut was priced in, but what is not is the "further easing" measure the NZ central bank has called for. This trade did go against me and stop me out. I have closed my other positions for a profit. Looking to short GBPUSD again when the right set-up forms. Right now... the only chart I like is EURAUD at weekly levels of support.