NZD/USD: Levels, Ranges, Targets

The ironic aspect to Trump’s rise and overwhelming electoral win is the revelation to ask questions how far did America drift off course politically and economically. Was Obummer’s presidency more about advance the government movement rather than a focus on economics. Stimulus, wedge issues and the economic result answers affirmatively. How deep did the government movement advance into the bureaucracy and judgeships. The result of Obummer is Trump as the natural progression in what I believe are approximate 20 year dictator rises in political cycles.
Andrew Jackson brought Lincoln, Lincoln brought Teddy Roosevelt and Lyndon Johnson brought Reagan. Clinton, Bushes and Obummer easily brought Trump. Every Democrat administration in power to advance the government movement saw the capitalist forces and unwind of Democratic disasters come to power by Republicans with much successes.
Is Trump capable or has the government movement advanced to the point where the forces of government power is far to great against capitalism’s return. One example is major companies in public positions against Trump. This is a first as major companies always played both sides of politics to advance their economic causes. The major question is what if Trump fails. Do we see revolution, economic destruction, another dictator far worse than Obummer rise to power.
The 50 year anniversary of free float currencies is up in 2022. Count backwards every 50 years to BOE establishment in 1695 and what is seen is a new market period takes effect at the 50 year point. Its pretty much a biblical development from Leviticus 25. Between the government movement and the last aspect to the 50 year period, the task for Trump is daunting.

NZD/USD. Today’s range 0.7311 to 0.7158, 153 pips. Now the central banks enter the picture to cut the ranges. Below contains vital break points at 0.7197, 0.7190, 0.7184 and 0.7182. The point at 0.7197 held since Jan 23. A break at 0.7182 would see NZD travel to 0.7132 and 0.7121.
Above contains most vital points at 0.7420 and 0.7458. NZD currently on its own volition sits oversold against 0.7197 and 0.7190. Yet NZD Vs USD is fairly balanced which means no dramatic moves up or down are seen. The slow price grind is more the way for NZD.
Why NZD is vital as a currency pair is because the brilliance of its central bank and money markets allows NZD to become a signal currency to the larger currency pairs. Overbought/ oversold indications are insights to AUD and EUR and any pair arranged as Other Pair / USD. NZD is not only a terrific currency pair but the RBNZ allows NZD to move.

 

Brian Twomey, Inside the Currency Market, btwomey.com

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