Market View and Analysis – NZD/CHF

Market View and Analysis – NZD/CHF

The New Zealand Dollar and the Swiss France cross is a currency that offers an alternative risk play. The New Zealand Dollar is known as a risk-correlated currency because of the mix of high interest rates and exposure to global economic performance. The Swiss Franc is known as a safe haven currency because liquidity tends to move away from the Euro-zone and into Switzerland during.

Daily Overview

We will start on the daily chart, we will focus in on the 0.6922 area and how this has been tested at the end of December and now in the last few days. We have seen some big candles from 6th February back down to support of 0.6727, which when looking left is has its origins in May 2018.

So, we note yesterday’s indecision around the 0.69 area, and we will see if this will fall back to 0.6792 or even 0.6727.

4 Hour Overview

Moving to the 4 hour chart we can see the recent very strong move up and we could be forming a pennant for a further move up, even thou we need to be aware of this we are taking the higher time frame resistance as being stronger and the move down more likely. So lower trendline breaks and the 38.2% fib breaking could be signs of a move lower

Trade Idea

We will be looking for a sell trade on the NZDCHF

We will be trading a break of the lower trendline.

We will trade off the 4 hour chart.

We will have an appropriate trade size for our account.

Our entry will be below the 0.6850 area.

Our trade will be invalidated with a 4 hour close above 0.69

Our stop loss will be 30 pips from entry.

Our target will be 0.6792 and 0.6727

Happy Trading!

USD/CHF 18th February 19 Trade Updates

Our trade did not trigger as we did not fall below 1.0025, we did have a low of 1.0023 but on a bullish candle.

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