Yesterday’s signals were not triggered as none of the key levels were ever reached.
Today’s NZD/USD Signals
Risk 0.75%.
Trades must be taken between 8am New York time and 5pm Tokyo time, over the next 24-hour period only.
Short Trade
Go short following bearish price action on the H1 time frame immediately upon the next touch of 0.7053.
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.
Long Trades
Go long following bullish price action on the H1 time frame immediately upon the next touch of 0.7020 or 0.7000.
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.
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
I wrote yesterday that it made sense to be bullish on this pair, but there was more major data concerning the Aussie due in the forthcoming Asian session which could move the price here substantially and unpredictably. The price did continue to rise a little higher but quickly ran out of steam and started to pull back gently. Since then we have had a small bullish bounce forming new higher support at 0.7020, which also happened at the round number of 0.7000. It would make sense to have more faith in 0.7000 as support than in 0.7020. I have a bullish bias above 0.7035.
There is nothing due today concerning the NZD. Regarding the USD, there will be a release of ISM Non-Manufacturing PMI data at 3pm London time.