Sorry, you need to enable JavaScript to visit this website.

NZD/USD Signal - U.S. wholesale inventories - 10 Jan 2017

You are here

Signal details
Entry Price: 
Close Price: 
Expiry Time: 
21:00 GMT
How we trade
3.7/5 of 3 ratings

The U.S. final wholesale inventories data is expected to show a 0.9% increase on a month over month basis in November. This comes after a rather weak print in October where U.S. wholesale inventories declined 0.4% despite a surge in sales. U.S. final wholesale inventories have remained volatile showing a 0.4% increase in October after a 0.1% increase in September. However, the recent uptick in the U.S. economic activity has boosted prospects of increase in the final wholesale inventories during the period.

NZDUSD has remained volatile over the past three trading sessions with prices moving back and forth between 0.7240 and 0.6960. This sideways range is likely to continue in the near term. On the 4-hour chart for NZDUSD shows a rising wedge pattern that has formed with recent attempts to break out above 0.7024 being met with strong resistance. Price action has formed a potential double top pattern near this resistance level which indicates near term weakness in prices.

Therefore, purchasing daily PUTs near 0.7010 for 21:00 GMT could see NZDUSD decline in the near term as the kiwi could most likely test the lower support near 0.6950.

Disclaimer: The article is written for informative purposes only and it is not financial advice. The author does not have any position in the currency pairs mentioned, and no plans to initiate a position. He wrote the article himself and expressed his own opinions. Readers should not treat any opinion expressed by the author as a specific inducement to make a particular trade or follow a particular strategy, but only as an expression of his opinion. All risks and coasts associated with online trading are your responsibility.