What to trade during Asia trade session?

1. NZD/CAD - Short
The pair is on a downward trend after a breakthrough in mid-term consolidation. We have two bearish pin bars or Tweezers formation - a strong negative price signal that shows the negative sentiment among investors at current levels. The cost reaches a diagonal and dynamic resistance level (50SMA) coinciding with 23.6% Fibonacci correction. 50 below 200SMA - downward movement is in effect. RSI (14) reverses the 50 - negative price signal. Fundamentally, uncertainty after the New Zealand elections has not yet passed, and oil growth over the past few days has further supported the Canadian.

SL: 0.89765

Chart: NZD/CAD D1

Alternative Scenario: If the price goes back over the resistance zone and stays there, the negative scenario will wreck and we are more likely to see a NZD increase.

2. ASX 200 - Long
The Australian benchmark price is on an upward trend after breaking a short diagonal with a gop upward - positive for the price. The index has also reached a level of long-term diagonal support and 50SMA, with the price forming a bullish pin bar followed by several consecutive days of consolidation. Considering the breakthrough of this consolidation with the upside and the stagnation of positivism during the US stock exchange session, our expectations are that the index will continue to rise. Dem 13 turns and goes out of over-sales area - positive for the price.

SL: $4466.30

Chart: ASX 200

Alternative Scenario: If the price goes back below the long-term diagonal and stays there, the positive scenario will be spoiled and more likely to see a decline in Australian stock prices.

Jr Trader Petar Milanov

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