NZD's Fall Is Far From Over, Especially After Breaking One Trend-Line Already

According to the COT report, more and more NZD long positions were added in the futures market. However, that was possibly in anticipation of NZDUSD's performance as it touched a May, 2013 trend-line.

NZDUSD hit a July, 2011 high and is on its way back down. The anticipated trend-line tested starting in May, 2013 was tested twice on Janurary, 2014 and April, 2014. A reversal was set for July, 2014, but never came. Instead, it's heading for a further fall. This puts us at the next, supposedly stronger, trend-line test around 450 pips lower. This trend-line is expected to be strong as it has been tested 5 times. The steepness of the slope demonstrates a more stable growth compared to the most recent steeper trend-line.