Our free forex signals service trade today is a sell order on the NZD/USD pair.
The NZD/USD pair plunged in yesterday’s trading session after developing a Double Top pattern. It has dropped as much as 0.6774 level where it has found temporary support.
In the short term, it has rebounded but this could be only a temporary growth. Technically, the bounce back could help the sellers to catch a new bearish momentum.
3 Free Forex Every Week – Full Technical Analysis
The USD has taken the lead in the short term as the Dollar Index invalidated potential deeper drop. DXY’s rally registered yesterday forced the greenback to dominate the currency market.
The US Dollar appreciated even if the US Final Manufacturing PMI dropped from 57.8 to 57.7 points matching expectations, while the Construction Spending registered only a 0.4% growth compared to 0.8% expected.
US ISM Manufacturing PMI – 60.0 Points Expected
The USD could resume its appreciation if the US economic figures come in better than expected later today. The ISM Manufacturing PMI is expected to drop from 61.1 to 60.0 points, while the JOLTS job Openings could be reported at 11.06M versus 11.03M in the previous reporting period. In addition, the ISM Manufacturing Prices and the Wards Total Vehicle Sales will be released as well.
From the technical point of view, coming back and stabilizing below the 0.6788 and under 0.6785 immediate low could signal that the rebound is over and that the NZD/USD pair could resume its downwards movement.
Free forex signals – Sell NZD/USD at 0.6785
Free forex signals entry price and takes profit
Instrument: NZD/USD
Order Type: SELL STOP
Entry price: 0.6783
Stop Loss: 0.6808
TP1: 0.6732
My Risk: 1%
Risk / Reward Ratio: 1:2
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