NZD/USD Signal Update
Yesterday’s signals were not triggered as there was insufficiently bullish price action at 0.7228.
Today’s NZD/USD Signals
Risk 0.75%
Trades must be taken from 8am New York time to 5pm Tokyo time, during the next 24-hour period only.
Long Trades
Long entry following a bullish price action reversal on the H1 time frame immediately upon the next touch of 0.7208.
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 0.7265.
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
The bullish trend here had appeared to be slowing down compared to positively correlated currency pairs, particularly the AUD/USD pair. However recent hours have seen this pair strengthen and make a markedly new high just a fraction off my identified resistance level at 0.7265.
I see continued bullishness and new support at 0.7208 as well as 0.7178. There is also a new, higher supportive bullish trend line shown in the chart below.
There is nothing of high importance due today concerning either the NZD or the USD.