FX Trading update: EUR and NZD

This analysis forms the basis of my FX forecasting service which provides short term updates and trading recommendations on EUR, JPY, CHF, GBP, AUD and NZD. It is emailed each day in PDF format to my subscribers. A 3 week trial is available for $50. Email TRL@clear.net.nz

Over-View:

EUR/USD recorded an “Outside Reversal Day” on Friday (refer Daily chart below) to signal the start of a corrective recovery.

Mathematical (and Chart) Resistance lies around the 1.2630 level and this represents a point where the Euro’s recovery is likely to aim for (as well being a probable Termination point).

Today I am Highlighting NZD/USD:

On Friday I was Selling the Kiwi But it only fell as far as .7455. The Kiwi’s failure to extend weakness is probably forewarning of a significant corrective recovery and I am now Buying NZD/USD (with a Stop Loss under .7460, initially) for a rally beyond Key .7565 resistance - toward .7615 & then .7645/.7675 (see Daily Chart below).