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Antipodeans Keep Stealing The Spotlight

The Antipodean currencies continue to crusade through unstoppable as the overall performance of the Forex indices shown in the chart above clearly depicts. Both the AUD and NZD keep moving in tandem finding no rivalry.

Let’s get started…

Scan of the Forex market

To see an expanded version, right-click and select ‘open link in new tab’. The indices show the performance of a currency vs a G8 Forex basket. Indicators are available to use these measures via Tradingview and MT4.

 

The Antipodean currencies continue to crusade through unstoppable as the overall performance of the Forex indices shown in the chart above clearly depicts. Both the AUD and NZD keep moving in tandem finding no rivalry.

What’s interesting about the current flows into FX this first week of the year is the technical cracks we are witnessing mainly attributable to such heavy demand flows into the Antipodeans while the rest of FX weakens or chops around.

As one matches the Antipodeans vs the weakest links such as the US Dollar or the Japanese Yen, the type of one-way street trends that are developing here are a thing of beauty. An AUD is paid at 0.78 USD now, highest since Feb ’18.

The current market context is characterized by strong risk appetite as portrayed via the skyrocketing of global equity indices. What’s more, it happens at a time when commodity assets are also thriving as the Reuters CRB index exhibits. This environments makes up for an ideal backdrop possible to join the bid in both the AUD and the NZD.

From a macro perspective, we should not forget that it has become blatantly clear  that the COVID-19 crisis is being handle much more successfully in the far east than in the Western-hemisphere DM (developed market) economies. What this translates into is that countries like China face brighter prospects of growth heading into 2021. And we all know that both the AUD and the NZD act as excellent proxies of the overall health of the Big Panda’s economy.

With this introduction to the state of affairs in the currency space, let’s now jump into the analysis of the charts…

Analysis of the Forex trends

In my video analysis below I use concepts taught in the brand new Academy website such as momentum or market structures to come up with the daily outlook in the currency market.

Economic indicators & events

If interested in the best ‘free of charge’ News Indicator that displays data on past and future news in the Forex market via MT4, check this YouTube video. The indicator allows you to save time and avoid mistakes.

 

Source: Forexfactory

Important footnotes

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However, clients at Global Prime were frustrated to find a structured way to absorb all this knowledge. Part of these golden nuggets are now going to be encapsulated in easy to follow and digestible lessons. By the end of the course, you will be given a set of strategies to take your game to the very next level. The first delivery focuses on the ‘TRAPPED TRADERS PATTERN’ while the second course is about ‘CURRENCY STRENGTH MICRO-MECHANICS’

About the author

Ivan Delgado

Ivan Delgado is a decade-long Forex Trader. Feel free to follow Ivan on Youtube. Join thousands of traders who follow Ivan's insights to increase their profitability rate by learning the ins and outs of how to read and trade financial markets. Ivan has you covered with in-depth technical market analysis to help you turn the corner.