Yesterday’s signals were not triggered, as there was no bullish price action at 0.6848.
Today’s NZD/USD Signals
Risk 0.75%.
Trades may only be taken from 8am to 5pm Tokyo time Wednesday.
Short Trades
Go short following bearish price action on the H1 time frame immediately upon the next touch of 0.6855 or 0.6902.
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 run.
Long Trades
Go long following bullish price action on the H1 time frame immediately upon the next touch of 0.6790.
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 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 due to the absence of trend I took no directional bias and saw the AUD/USD as a better pair to be trading than this one, as that was where the action is likely to be later during the Asian session. This was a good call. The picture is more bearish but less so than the AUD/USD currency pair. Either long or short trades from rejections of the nearest key levels are likely to be just as good as one another. I again take no directional bias today and think we will see more action in the AUD/USD currency pair.
There is nothing of high importance due today regarding either the NZD or the USD.