Is it time for a comdoll rebound? This week’s featured trade idea is a countertrend setup on NZD/USD. Let me know what you think of this one!
The Kiwi has been selling off really aggressively against the U.S. dollar for the past few days but elisab thinks its high time for a rebound.
In his post in my Comdoll Corner for NZD pairs, he mentioned that NZD/USD has failed to break below the 200 SMA and that he is waiting for a wave signal and reversal candlesticks to jump in long.
Do you think the Kiwi’s selloff is overdone as well?
Potential Trade Setups
AUD/USD: Retracement to 1.0100?
After closing below parity, AUD/USD looks like it’s ready for a retracement. The 1.0100 handle is a good spot not only because it’s near the 50% Fib, but the area had also served as support in early March. Will the pair reach the level or will it continue to drop without retracing? See the setup
USD/CAD: Waiting for a breakout
It’s decision time for the Loonie bulls and bears! USD/CAD is sporting a symmetrical triangle on the 1-hour chart and it looks like we’re about to see a breakout. Will the pair break to the downside or is it a bullish pennant that we’re seeing? Keep your eyes on this one! See the setup
NZD/USD: Rising channel support
Remember the rising channel that I pointed out a couple of days ago? Well, NZD/USD is currently testing its support! If you think that the Kiwi will strengthen over the next few days, then buying at the current levels and placing accommodative stop losses is a good strategy to pursue. See the setup
Comdoll Event Highlights for May 13 to 17, 2013
After last week’s set of top-tier data, it seems the comdolls’ schedule for this week isn’t so jam-packed.
To start with, today’s market movers are the U.S. headline and core retail sales data then, in tomorrow’s early Asian session, we have New Zealand’s quarterly retail sales release. Before the week comes to a close, Canada will print its headline and core CPI figures.
Do keep an eye out for these events if you’re looking for opportunities to trade the news. If you’re planning to trade the comdolls this week, take a look at the potential inflection points on AUD/USD, USD/CAD, and NZD/USD right here:
Significant Levels to Watch Out For
|Week Open (WO)|
|Previous Week High (PWH)|
|Previous Week Low (PWL)|
|Top Weekly ATR (tWATR)|
|Bottom Weekly ATR (bWATR)|
|Other significant levels|
In case you’re wondering what ATRs are all about and how I computed those figures, make sure you check out my entry explaining my trading strategies.
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