NZD/USD Signal Update
Yesterday’s signals were not triggered as there was no bearish price action at 0.7017.
Today’s NZD/USD Signals
Risk 0.75%
Trades may only be taken from 8am New York time to 5pm Tokyo time during the next 24 hours.
Long Trades
Go long following a bullish price action reversal on the H1 time frame immediately upon the next touch of 0.7017 or 0.6945.
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 run.
Short Trade 1
Go short following a bearish price action reversal on the H1 time frame immediately upon the next touch of 0.7153.
Place the stop loss 1 pip above the local swing high.
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 run.
NZD/USD Analysis
I wrote yesterday that “there is a chance of an upwards move, with a fairly long trend line being broken to the upside. The confirmation of the beginning of such a move would come with a bullish break above the resistance level at 0.7017.” This is exactly what has happened and we are now moving back into line with the long-term bullish trend.
At the time of writing the price is testing key resistance at 0.7068. A sustained break above here will suggest a continuation move up to 0.7150.
There is nothing due today concerning the NZD. Regarding the USD, there will be a release of CB Consumer Confidence data at 3pm London time.