Forex Marketz Daily Forex News – Fully Markets Update
The New Zealand dollar on the above four hour MT 4 price action chart is indicating a bullish reversal thanks to a head and shoulders chart formation in the NZD/USD currency exchange rate.
The Forex and financial markets are cautious ahead of today’s presidential inauguration. At noon (EST) President-elect Joe Biden will be sworn in as the 46th President of the United States of America. Outgoing President Donald Trump has refused to attend or meet with Mr. Biden. He will depart the Whitehouse earlier in the morning for Florida where he will reside.
The latest coronavirus numbers out of the United Kingdom show that another 1,610, daily, people have died within 28 days of testing positive for Covid-19. This is the largest number of deaths in Britain in a single day since the Covid-19 pandemic began in 2020.
Germany has extended their lockdown until 14 February. There are also fears of coronavirus vaccine shortages in New York and Canada.
Traders are also waiting on monthly consumer price index (CPI) out of the United Kingdom. Germany will release monthly producer price index (PPI) data. The United Kingdom will also publish their monthly producer price index (PPI). Canada is releasing monthly consumer inflation data and the Bank of Canada will announce monetary policy and rates during the North American trade session.
Daily New Zealand Dollar Technical Analysis (NZD/USD)
The New Zealand dollar (NZD) confirmed the head and shoulders on the above NZD/USD four hour chart. This signals a new possible price trend lower for the NZD/USD Forex market. The New Zealand currency is now taking aim at the downside barrier in play at 0.6980.
For that to happen, a daily close below the psychological layer of technical support at 0.71 must occur. On the upside, prices are contained while below the head and shoulders neckline.
The bears seem in control while this currency exchange rate is below 0.7140. A daily close above 0.7140 opens the door to challenge 0.7240.
