NZDUSD: Weakly bullish above 0.6386
Yesterday’s signals were not triggered, as none of the key levels were ever reached.
Today’s NZD/USD Signals
Risk 0.50%.
Trades may only be taken from 8am New York time Tuesday to 5pm Tokyo time Wednesday.
Short Trade Ideas
⦁ Go short following bearish price action on the H1 time frame immediately upon the next touch of 0.6475 or 0.6500.
⦁ Put 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 ride.
Long Trade Ideas
⦁ Go long following bullish price action on the H1 time frame immediately upon the next touch of 0.6386 or 0.6315.
⦁ Put 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 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
I wrote yesterday that I suspected that this currency pair was beginning to bearishly top out and that was a very good call. I was looking for a short at 0.6475 but unfortunately the price never quite reached that level.
The picture now is more bullish as we are seeing an upwards wave following the pull back, but the price action in the AUD/USD currency pair is far more bullish and interesting. Therefore I would leave this pair alone today.
Regarding the USD, there will be a release of ISM Non-Manufacturing PMI data at 3pm London time. Concerning the NZD, there will be releases of Employment Change and Unemployment Rate data at 9:45pm