Hello, This trading week looks so risky as I already mentioned, we saw a spike in GBP pairs during the Asian session without any reason. I don't like this kind of movement. Mostly every year during this period, we see such a movement on the market. Even if you're using an SL level then it won't get activated. So, the solution was always trading with a small risk. I could get a margin call during that move but fortunately, I had enough margin level. But with the GBP strength, I can get a margin call in the next coming days. Now, I'm having a +260$ loss which keeps increasing day by day. No more selling trades, I'm waiting for the next trading bonus to decide if I can add more selling positions.
Fed Chair Powell Testifies:
Today, US Federal Reserve Governor Jerome Powell is due to testify about the semi-annual monetary policy report in the House Finance Committee. This gonna be the 2nd day, which is considered important for Powell's appearance before the US Congress, before the House and Senate vote to pass the stimulus package, and this seems very likely given the Democrats' control of the House of Representatives.
RBNZ Gov Orr Speaks:
The RBNZ kept the NZ Official Cash Rate at a 0.25% level. The price goes up +40 pips in few seconds. The RBNZ decided to keep its monetary policy unchanged, and the committee will continue to buy assets on a large scale within the announced asset purchase program at a value exceeding $100 billion. This evening, the Governor of the New Zealand Reserve will testify before the New Zealand Parliament in Wellington. This should have a direct impact on the NZD, especially after keeping monetary policy unchanged.
NZDUSD wave analysis:
As you see, all the USD pairs have entered the final bullish wave, The NZDUSD has already reached 261 Fibonacci level which is considered a strong reversal level. But as waves analysis, the pair still have to go higher, maybe 0.75 could be the final target. I think selling this pair is a very good idea especially for those who prefer long-term trading. This trade can take serval months, but as I already said you can't sell it now. The pair is still bullish.