Loonie Yen – CAD/JPY fell through its 94.50 support level yesterday which opens up the door for potential further losses in the coming days. Traders who missed the shorting opportunities at the 96.01 resistance level as we recommended in our 30th July 2015 Market Outlook may consider shorting this currency pair when price pullback to its 94.50 resistance level (Previous support level) while traders who went short at the 96.01 resistance level may consider scale in the position at the 96.01 resistance level.
Euro Kiwi – We have an ascending triangle chart pattern in EUR/NZD which may lead price higher in the coming days. If price breaks above the 1.6800 resistance level, traders may then consider buying at the breakout for a ride on the bullish trend. However if price fails the breakout higher and fell through the ascending trendline, traders may then consider shorting this market for a short term counter trend trade but given the overall trend is still bullish, it’s safer to buy into this market instead of shorting it.
Pound Kiwi – GBP/NZD bounce slightly higher after price rejected its bullish trendline and the 2.3400 support level. Given that the overall trend is still bullish, traders may consider buying into this market to jump on the bullish trend. There’s no key resistance level above current price thus there’s a huge profit margin for traders to trade on the bulls side while the risk is minimal if stops are set at the recent swing low
Posted on 2015-08-04 06:30:36