NZD/USD Signal Update
Yesterday’s signals were not triggered as none of the key levels were reached during the Asian session.
Today’s NZD/USD Signals
Risk 0.75%
Trades must be taken from 8am New York time until 5pm Tokyo time, during the next 24-hour period.
Long Trade 1
Long entry following a bullish price action reversal on the H1 time frame immediately upon the next touch of 0.7075.
Put 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.
Remove 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 0.7182.
Put 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.
Remove 50% of the position as profit when the trade is 20 pips in profit and leave the remainder of the position to ride.
The best method to identify a classic “price action reversal” is for an hourly candle to close, such as a pin bar, a doji, an outside or even just an engulfing candle with a higher close. You can exploit these levels or zones by watching the price action that occurs at the given levels.
NZD/USD Analysis
We have a very significant development today in this pair. The NZD has been one of the strongest currencies against the USD over the past several months and today it looks as if it is finally getting established above its price levels of 3 and 6 months ago, which would be a very bullish sign. It looks like a great vehicle to use for exploiting weakness in the USD.
The resistance level at 0.7182 looks strong and likely to hold over the very short-term.
There is nothing due today regarding the USD. Concerning the NZD, there will be a release of GDT Price Index data later.