EUR/NZD longs were the best forex trade this week, what's next?

The euro was the top performer this week while the kiwi lagged

EUR/NZD isn't a chart you see too often but it's a good one to show off technical analysis.

Last week there was a bullish crossover of the 100-day moving average above the 200-day, a golden cross. Greg made a great video earlier today on how to use golden crosses and death crosses that I've included at the bottom of the post.

It was a bullish signal for this pair and foreshadowed a 2.5% gain this week.

What I find more interesting is the inverted head & shoulders pattern earlier in the year. We reached the measured target of that move this week.

We're also now facing resistance from the 2013 highs at 1.7279.

I think there's a case for shorting closer to that line but with Fonterra being downgraded today and today's retail sales report very soft, it's probably too soon.