Yesterday’s signals were not triggered, as unfortunately the bullish price action took place a little way below the anticipated support level at 0.7228.
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
- Long entry following a bullish price action reversal on the H1 time frame immediately upon the next touch of 0.7216.
- Put 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 Trade 1
- Short entry following some bearish price action on the H1 time frame immediately upon the next touch of 0.7337.
- Put 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 price moved up strongly from the area of anticipated support, but unfortunately turned at an area which was a little too low to be covered by the signal. Anyway, the price has moved up strongly from there, and the overall picture continues to look bullish, with no key lower low yet breaking the pattern. I maintain a bullish bias and the NZD looks stronger than the AUD, with which it is usually strongly positively correlated.
There is nothing due today concerning either the NZD or the USD.