NZD/USD Signal Update
Yesterday’s signals produced a losing long trade following a bullish break of the bullish pin bar that formed following the first touch of 0.6631.
Today’s NZD/USD Signals
Risk 0.75%
Trades must be made 8am to 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 0.6549.
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 following a bearish price action reversal on the H1 time frame immediately upon the next touch of 0.6625.
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.
Short Trade 1
Short entry following a bearish price action reversal on the H1 time frame immediately upon the next touch of 0.6703.
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
I wrote yesterday that “much will now depend upon whether the USD continues to strengthen” and the increasing bullish sentiment in favour of USD has moved this pair below the anticipated support at 0.6631.
This level should now have flipped to resistance, so although it looks like we are starting to get a bullish pull back now, I expect 0.6625 will hold at least until the NFP release tomorrow, when anything might happen.
There is nothing due today regarding the NZD. Concerning the USD, there will be a release of Unemployment Claims data at 1:30pm London time.