NZD/CAD – Technical and Fundamental Long Setup

New Zealand Dollar/Canadian Dollar FX:NZDCAD

RiverThink

Hello Traders! Welcome to my post, today we are looking at NZD/CAD and we have identified the following confluences to support this high-probability setup:

-Formed a triple bottom on the weekly chart
-Found support on monthly support
-Bullish divergence
-Strong bullish momentum
-News article headline: NZD/USD: Despite RBNZ rate cuts, it is oversold – CIBC
-With the article headline in mind, we can expect NZD strength to come into the market
-News article headline: BoC to cut rates by 50bps over 2020 – TDS
-With such a headline, we could expect CAD weakness to begin getting priced into the market
=>Therefore NZD/CAD is the perfect pair in regards to the fundamental and technical information provided

Stop Loss: 0.83400
Targets: 0.84850, 0.85550, 0.86350

Risk to Reward Ratio: 2.6

Thank you for reading this idea, I hope you learned something and I hope that this analysis will be beneficial for your trading.

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