FX Thoughts- May 18

On May 3^rd I posted a Tweet:

“The reality of lower commodity prices is catching up with the New Zealand dollar. Expect acceleration of the downside move towards 74 cents”.

Today I want to update that assessment (NZD/USD trading at 76.35)

NZD/USD’s Downtrend persists.  In the Short Term, resistance at .7650/.7685 today contains for a break below the .7620 support level to herald the next decline toward the mid .7500’s; enroute to .7370 over coming days. See chart below

I am now Selling the Kiwi (with a Stop Loss above .7685 initially) for the next decline below Key .7620 support toward a Target of .7570/.7545.

This forecast, together with EUR, JPY, CHF, GBP and AUD is updated in my FX Forecasting service emailed to subscribers every day. A 3 week trial costs $50. If you are interested email me TRL@clear.net.nz

Disclaimer: Max McKegg & Technical Research Ltd accept no liability  whatsoever for any loss or damage that may result, directly or indirectly, from any forecast, comment or opinion, information or omission, whether negligent or otherwise, within this report.