I reengaged short on this pair after RBNZ.
Initially NZDUSD moved lower on the backs of dovish statements from RBNZ, maintained their rate at 0.25%, kept their QE program unchanged.
However, it quickly recovered, especially on AUDNZD we saw sharp selling.
Technical we see long-tail candles, suggesting selling pressure, trading back below the downward trendline, Stochastic losing momentum.
Fundamentally: Monetary divergence with RBA and RBNZ
RBA also had a dovish stance earlier this month which they doubled their QE program, and mention will keep rates low for longer. RBNZ in my view has less room to be dovish due to its high housing price problem.
Sold at market 1.0775
S/L: 1.0850
T/P: 1.0600
Good luck everyone
Initially NZDUSD moved lower on the backs of dovish statements from RBNZ, maintained their rate at 0.25%, kept their QE program unchanged.
However, it quickly recovered, especially on AUDNZD we saw sharp selling.
Technical we see long-tail candles, suggesting selling pressure, trading back below the downward trendline, Stochastic losing momentum.
Fundamentally: Monetary divergence with RBA and RBNZ
RBA also had a dovish stance earlier this month which they doubled their QE program, and mention will keep rates low for longer. RBNZ in my view has less room to be dovish due to its high housing price problem.
Sold at market 1.0775
S/L: 1.0850
T/P: 1.0600
Good luck everyone
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Disclaimer
The information and publications are not meant to be, and do not constitute, financial, investment, trading, or other types of advice or recommendations supplied or endorsed by TradingView. Read more in the Terms of Use.