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Though I wouldn't trade it, I think that if volatility dies down and NZDUSD holds above 0.5900, we could get a reversal from that point.
Of course, we really need to see the broader markets refind their sense of risk appetite first. Until then, regular technicals just aren't reliable enough to trade from.
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John Kicklighter is the author of Dynamic Carry Trade Basket, Watch What The Fed Watches, and Forex Trading Weekly Forecast on DailyFX.com
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