Today’s NZD/USD Signals
Risk 0.75%
Trades must be taken from 8am New York time to 5pm Tokyo time, over the next 24-hour period only.
Long Trade 1
Long entry following a bullish price action reversal on the H1 time frame immediately upon the next touch of 0.7119.
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.
Short Trades
Go short following a bearish price action reversal on the H1 time frame immediately upon the next touch of 0.7214 or 0.7240.
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 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 NZD was one of the strongest currencies against the USD until a few weeks back, when it was replaced in this role by the AUD. Since then it has never really recovered, and although it is no longer really falling against the USD, it is unable to fully break up past resistance either. There is no long-term trend here, but this is usually a difficult pair to trade off support and resistance levels
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There is nothing due today concerning the NZD. Regarding the USD, there will be a release of Core Durable Goods Orders data at 1:30pm London time.