NZD/USD Forecast August 2, 2017, Technical Analysis

The New Zealand dollar initially tried to rally on Tuesday but then fell below the 0.75 level again. The 0.7450 level underneath continues to offer support though, as we are very consolidated. I think the given enough time, we should continue to see bullish pressure, but if we don’t, the next support level is probably to be found near the 0.7425 handle. The market tends to be very choppy in this general vicinity, so we will have to wait to see what happens next, but keep in mind that the New Zealand dollar continues to be influenced by the commodity markets overall. Because of this, you should pay attention to the CRB Index, as well as soft commodities in general.

On the sidelines

I think that is probably best to sit on the sidelines when it comes to this market, because quite frankly we don’t have a bounce to play quite yet. Short-term traders will continue to go back and forth, but I believe that it’s difficult to trade this market and the short-term, because quite frankly it is so choppy in general and in a very tight range. Because of this, I’m on the sidelines currently, but will most certainly let you know when things change in this market here at FX Empire.

NZD/USD Video 02.8.17