Long EURNZD or EURGBP Anticipating Good EUR Data
This is not a significant event to trade on. Nevertheless, I would still put it on as a practice for my analysis.
* Fundamental: The Spain data is expected to be Good, I expected it to be even better.
* Positioning/Supply-Demand: EUR is Net Short, most heavily in EURNZD vs Net Long in EURGBP
* Sentiment/Price Action: EUR is Net Long, most is EURNZD vs least is EURUSD
To me, the path of least resistance is to go Long EURNZD which has already gone up despite being Net Shorted as people will have to cover their short once the news data is released. Alternatively one can go Long on EURGBP as people who Net Long it may add to their position following the data release. On the flipside, if the data is worsed than expected, best pair to short EUR against is EURUSD which has already been bearish on both the Sentiment and Positioning standpoint.
Technical level to watch: 1.645 and 1.63 for EURNZD or 0.885 and 0.88 for EURGBP
* Fundamental: The Spain data is expected to be Good, I expected it to be even better.
* Positioning/Supply-Demand: EUR is Net Short, most heavily in EURNZD vs Net Long in EURGBP
* Sentiment/Price Action: EUR is Net Long, most is EURNZD vs least is EURUSD
To me, the path of least resistance is to go Long EURNZD which has already gone up despite being Net Shorted as people will have to cover their short once the news data is released. Alternatively one can go Long on EURGBP as people who Net Long it may add to their position following the data release. On the flipside, if the data is worsed than expected, best pair to short EUR against is EURUSD which has already been bearish on both the Sentiment and Positioning standpoint.
Technical level to watch: 1.645 and 1.63 for EURNZD or 0.885 and 0.88 for EURGBP
Comment:
Well data is bad, I took off my Long trade at a tiny profit and now will shift my attention to Short EURUSD
