The current NZDUSD pattern may offer the most information regarding the sell-off in ‘risk’ and how far it is likely to extend, at least over the next week or so. Sideways trade since 3/15 composes a triangle. Triangles are valuable tidbits of information in that their presence typically foreshadows a move in the same direction of the move that preceded the triangle (in this case down) BEFORE a reversal. Thus, look lower towards 7980 (former resistance) and 7880 (former resistance). 8160/90 is resistance.
Bottom Line (next 5 days) – lower
Bottom Line (next 5 days) – lower
