NZD/USD Signal Update
Yesterday’s signals were not triggered as there was no bearish price action at any of the key resistant levels.
Today’s NZD/USD Signals
Risk 0.75%
Trades must be made between 8am and 5pm New York time only, or after 8am Tokyo time later.
Long Trade 1
Long entry following a bullish price action reversal on the H1 time frame immediately upon the next touch of 0.6740.
Place the stop loss 1 pip below the local swing low.
Adjust the stop loss to break even once the trade is 20 pips in profit.
Take off 50% of the position as profit when the trade is 20 pips in profit and leave the remainder of the position to ride.
Short Trade 1
Short entry if the price is below 0.6840 and 2pm London time today.
Place the stop loss 1 pip above the local swing high.
Adjust the stop loss to break even once the trade is 20 pips in profit.
Take off 50% of the position as profit when the trade is 20 pips in profit and leave the remainder of the position to ride.
NZD/USD Analysis
This remains the most strongly trending pair, with the price continuing to make new 3 month highs, putting us into “blue sky” territory.
The price powered up past anticipated resistance levels with relative ease, but it is now starting to show signs of a possible reversal off 0.6672, although this may well be a temporary slow-down.
There will probably local support at around 0.6840, but if we can break down below that level a short while after New York opens, there will probably be a deeper pullback.
Regarding the USD, there will be releases of CPI and Unemployment Claims data at 1:30pm London time, followed by the Philly Fed Manufacturing Index at 3pm. Concerning the NZD, there will be a release of CPI data at 10:45pm.