Yesterday’s signals were not triggered as none of the key levels were ever reached.
Today’s NZD/USD Signals
Risk 0.75%
Trades may only be entered between 8am New York time and 5pm Tokyo time, over the next 24-hour period.
Long Trade 1
· Go long following a bullish price action reversal on the H1 time frame immediately upon the next touch of 0.7153.
· Place 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 run.
Short Trade 1
· Go short following a bearish price action reversal on the H1 time frame immediately upon the next entry into the zone between 0.7298 and 0.7318.
· Place 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 run.
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 is still holding up quite well against the U.S. Dollar, in fact it has been one of the top performing currencies against this benchmark over recent days. The price recently found support below at a confluence of two bullish trend lines shown in the chart below, and looks as if it will very shortly test the upper trend line within the consolidating triangle. A break above there should bring a test of the level at 0.7300 and if the price continues to rise beyond that area, it would be a very bullish sign.
There is nothing due today concerning the NZD. Regarding the USD, there will be a release of Unemployment Claims data at 1:30pm London time.