The recovery of WTI last week met resistance in the 54.60 area. The price formed a gap down on the mounting fears about the coronavirus.
NZD/CHF: earning on volatility
NZD/CHF fell this week as the Swiss franc appreciated versus other currencies. However, the positive market sentiment related to the US-China trade deal helped the pair to find support in the 0.6355 area (50% Fibonacci retracement of the August-December advance; 100-day MA). At the moment of writing, the price has approached Wednesday’s high around 0.6400.
On the H4, we can see that NZD/CHF has met resistance. It may slide to the minimum seen on this timeframe and the H1 at 0.6387, where buyers will once again become interested. The turn upwards from this support and the following break above 0.6400 will lead the pair to 0.6420. The next resistance levels lie at 0.6420 (50-day MA) and 0.6435 (50-period MA on H4).
On the downside, a return below 0.6380 will open the way down for a retest of 0.6355.
BUY 0.6390; TP1 0.6420; TP2 0.6435; SL 0.6375
Currently, the precious metal trades in the zone of 7-year highs. How far away is the all-time high?
The volatility in USD/MXN has jumped. The pair is correcting up within the downtrend, which has been in place since September.
It looks like the American stock market woke for the true depth of dangers presented by the Coronavirus. Why now?
AUD is on a downswing against the USD. It reached the Spring-2009 lows. Will it continue the same direction?
NZD seems to be in an equal fight against the JPY. What stands behind that?