Monday starts with a reversal attempt on the major Futures Markets across the globe. As we pointed out earlier, all eyes are not on the Central Banks. Investors are nervously looking at the bankers’ printers awaiting the fresh stream of money. That is the world that we live in after the 2008 and we just have to accept it. In today’s analysis, we will take a look on 3 major Forex pairs, which are in very interesting places.
First one is the NZD/USD, which is currently fighting on an absolutely crucial support made by lows from 2015 and 2019. The last week ended with a bounce but the first trading day of March started with a bearish gap and the price dropping below that support, which is a little bit complicating the current situation. As it often happens with the gaps, the price closed this gap after few hours. In theory, after closing the gap, the price is free to drop again. Additionally, we are still under this horizontal support, which is definitely a negative sign for the buyers.
Now, USD/CHF, which also is on an interesting support. In this case, these are yearly lows. USD/CHF is behaving a bit better than NZD/USD and here, we can see a clear bounce. As long as we stay above the green line, buyers can be relatively calm.
Last one is the USD/CAD, which is finally correcting a huge rise from the previous week. At the end of the February, price broke the upper line of the wedge and the horizontal resistance on the 1.33. Currently, the second one is under the bearish pressure but from the technical point of view, this is just the broken resistance being tested as a closest support. In my opinion, as long as we stay above, the bullish sentiment is ON.