EUR/NZD LONG

28. Feb. 2016

on the daily charts we see a test of the ascending trend line from the April 2015 lows, further more to add we see this trend line intersect my 40% & 50% fibonacci cluster level at 1.63724-1.64815 price on Friday's close managed to close just shy of the 50% fib level after a false break down towards my trend line. Due to the G20 weekend this weekend NZD news will be over looked due to the high risk event however i will be entering at the lowest price i can from the 60% fib value on Friday's daily range (1.63664) as price is bound to test these fib levels due to weekend risk event. A close above Friday's high will see me long towards my 1st target at 1.70070 with my second at 1.72380 and my final at the 1.80000 high of 2015. Due to the G20 weekend NZD news is bound to be overlooked, a good print on Euro-Zone economic data (Consumer Price Index YoY Feb 10:00GMT) if bullish should provide enough conviction for bullish pressure to enable a close above 1.65710. Recent releases from news sources in regards to the G20 meeting indicate that both the BoJ and ECB may be shying away from the option of adding additional stimulus to their respective economies given the global slow down in growth, a contradictory overtone in bank policy as to what we had in the previous bank meetings as both said the option of adding stimulus was a possibility in the March meetings, further to this more recent development, the economic calendar will some what play a role in bank policy decision over the next few weeks leading up to the ECB meeting in March. Good Euro-Zone prints will facilitate and confirm my price action moves towards the upside.