NZD/USD Forex Signal - 18 April 2019

Today’s NZD/USD Signals

Risk 0.75%.

Trades may only be entered between 8am New York time Thursday and 5pm Tokyo time Thursday.

Short Trades

• Go short following bearish price action on the H1 time frame immediately upon the next touch of 0.6747 or 0.6781.
• 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 0.6677 or 0.6655.
• 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

This pair has become interesting, with the price spiking down yesterday to a new multi-month low not seen since January. The price recovered quickly, but has fallen again over recent hours, and appears to be selling off with healthy momentum. A close below 0.6680 at the end of today’s New York session would suggest that still lower prices will be reached over coming days, although this is complicated by the fact that we are about to begin a small holiday period which will see closed markets or extremely thin liquidity, as well as the two key support levels which are not far below 0.6680. I would take a bearish bias if the price trades below 0.6680 during the first half of the New York session later today.

There is nothing of high importance due today concerning the NZD. Regarding the USD, there will be a release of Retail Sales data at 1:30pm London time.