The pair is at a very interesting level – it has formed a triple top and the expectation was that it would begin moving to the downside, but it has once again climbed to test the still unbroken resistance at 0.96.
There is no such thing as a quadruple top in technical analysis – or at the very least I have never read about one. The pair testing the resistance for a fourth time means that we will most likely see a breakout and a further move to the upside above the resistance level, which means that NZD/CAD will reach historical highs.
Only a strong fundamental reason could ruin this scenario. There are persistent rumours that the Reserve Bank of New Zealand could lower its interest rate, which is currently 2.25, and that will inevitably weaken the New Zealand currency.
Either way, it’s a good idea to watch this pair carefully in the coming months.
Very interesting post, thanks.
ReplyDeleteInformative post, thank you.
ReplyDeleteGood insight.
ReplyDeleteIt is a good idea.
ReplyDeleteGood post!
ReplyDeleteGood point! I'll keep an eye on it.
ReplyDeletegood post.
ReplyDeleteGood analysis!
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