NZD/USD Forecast November 4, 2014, Technical Analysis

The NZD/USD pair broke down during the session on Monday, testing the 0.77 handle. We believe that this market should continue to go lower given enough time, and as a result we are sellers overall. We believe that the rallies on short-term charts will continue to offer selling opportunities as well, thereby making this a “sell only” type of market. We believe that the New Zealand dollar eventually will head down to the 0.75 handle, thereby making buying this market almost impossible at this point in time. We also recognize that the Row Bank of New Zealand should continue to do what it can to keep the value the Kiwi lower.