Has the New Zealand Dollar Topped?

The New Zealand dollar has been showing signs of topping in the near-term against a number of pairs. The technical setup I like the most was on GBPNZD, though I missed that one; I didn't get the pullback I was looking for, so the order never got filled. AUDNZD, though, is also showing a very nice setup. The October 15 candle with the long wick could constitute a bullish checkmate, and so my stop loss is just below that level. My target profit is at the recent highs near 1.1281. A 61.8%+ Fibonacci retracement has been completed, and the 200 EMA sits between the stop and the entry point. Based on these factors, the visible upwards trend on the daily chart, and the recent candlesticks, I felt comfortable going long at 1.1031, with my stop at 1.0971 and my take profit at 1.1281 -- which gives me a reward/risk setup of over 4.15.

The largest archive of trading educational material on the web: www.informedtrades.com