NZD/USD Signal Update
Yesterday’s signals were not triggered.
Today’s NZD/USD Signals
Risk 0.75%
Trades must be entered between 8am New York time and 5pm Tokyo time only.
Long Trades
Long entry following a bullish price action reversal on the H1 time frame immediately upon the next touch of 0.6870 or 0.6850.
Place the stop loss 1 pip below the local swing low.
Move 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 pair continues to rise along with its sister pair AUD/USD, in fact the NZD is even stronger than the AUD at the moment. The bullish movement does look less orderly than the bullish channel that can be easily seen in a chart of AUD/USD, which causes some concern. However the overall picture is undoubtedly bullish and there may be a nice confluence soon of the trend line and horizontal support at 0.6850.
There is plenty of U.S. economic data due later which may cause a lot of volatility.
I do not see a formal resistance level but there is definitely profit-taking happening every time the area around 0.6950 is reached. A sustained break above there would be an extremely bullish sign, although there is the psychologically key level of 0.7000 beyond that which might prove very formidable.
There is nothing due today regarding the NZD. Concerning the USD, there will be releases of Retail Sales, Core Retail Sales and PPI data at 1:30pm London time, followed by Crude Oil Inventories at 3:30pm.