7 May 2015
NZD/CAD: Bears look for weakness below 200-day MA - TDS
FXStreet (Guatemala) - Analysts at TD Securities explained that NZD/CAD has steadied a little so far today while coming with a bearish bias.
Key Quotes:
"But we are not changing views here; we think the minor bounce equates to no more than a brief consolidation ahead of another leg lower at this point."
"The overall picture for NZD/CAD remains bearish and it will take a lot to change our opinion of where risks lie going forward."
"The longer-term bear case cannot be clearer (near the upper end of the historic range, big reversal signals forming on the longer-term charts)."
"Weakness below the 200- day MA this week keeps the focus on the downside even though today’s bounce is taking hold around retracement support just under 0.90."
"Major support from a long-term perspective remains 0.8620—a major (0.96) double top trigger which would, if broken, target a medium-term decline to 0.76. Look to sell modest gains or new lows."
Key Quotes:
"But we are not changing views here; we think the minor bounce equates to no more than a brief consolidation ahead of another leg lower at this point."
"The overall picture for NZD/CAD remains bearish and it will take a lot to change our opinion of where risks lie going forward."
"The longer-term bear case cannot be clearer (near the upper end of the historic range, big reversal signals forming on the longer-term charts)."
"Weakness below the 200- day MA this week keeps the focus on the downside even though today’s bounce is taking hold around retracement support just under 0.90."
"Major support from a long-term perspective remains 0.8620—a major (0.96) double top trigger which would, if broken, target a medium-term decline to 0.76. Look to sell modest gains or new lows."