NZD/USD reversal idea
Hello Traders
In the next few hours, we have the USD interest rate result.
We have 3 scenarios:
1- Interest rate rises by 0.75:
No way, it's far out of reach and low possibility but if that happens, USD will be going crazy strong.
2- Interest rate rises by 0.5:
That's the number that market looking for. After that overall interest rate for USD is going to be 4.5%. at this rate, we expect some investors to unwind their positions in NZD/USD (because NZD currently has 4.25% interest rate, and the next interest rate meeting for NZD is nearly in the next 2 months).
3- Interest rate rises by 0.25:
It will be very interesting if it happens. by rising 0.25, the market will be going into indecision mode and every USD pair will be ranging.
We assume scenario 2 for our analysis. In this way, our technical view is showing us some potential trend reversal but we are still waiting for the interest rate result.
our technical view has been shown in the chart.
If you like it then Support us by Like, Following and Sharing.
Thanks For Reading
Team Fortuna
-RC
(Disclaimer: Published ideas and other Contents on this page are for educational purposes and do not include a financial recommendation. Trading is Risky, so before any action do your research.)
In the next few hours, we have the USD interest rate result.
We have 3 scenarios:
1- Interest rate rises by 0.75:
No way, it's far out of reach and low possibility but if that happens, USD will be going crazy strong.
2- Interest rate rises by 0.5:
That's the number that market looking for. After that overall interest rate for USD is going to be 4.5%. at this rate, we expect some investors to unwind their positions in NZD/USD (because NZD currently has 4.25% interest rate, and the next interest rate meeting for NZD is nearly in the next 2 months).
3- Interest rate rises by 0.25:
It will be very interesting if it happens. by rising 0.25, the market will be going into indecision mode and every USD pair will be ranging.
We assume scenario 2 for our analysis. In this way, our technical view is showing us some potential trend reversal but we are still waiting for the interest rate result.
our technical view has been shown in the chart.
If you like it then Support us by Like, Following and Sharing.
Thanks For Reading
Team Fortuna
-RC
(Disclaimer: Published ideas and other Contents on this page are for educational purposes and do not include a financial recommendation. Trading is Risky, so before any action do your research.)
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