NZD/USD Signal Update
Yesterday’s signals produced a profitable long trade following the bullish pin bar rejection of the identified support level at 0.7017. It is probably a good idea to take any remaining profit or at least most of it.
Today’s NZD/USD Signals
Risk 0.75%
Trades must be entered between 8am New York time and 5pm Tokyo time during the next 24 hours only.
Protect any open trade by 6:30pm London time.
Long Trades
Long entry following a bullish price action reversal on the H1 time frame immediately upon the next touch of 0.7013 or 0.6945.
Put 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 ride.
Short Trades
Short entry following a bearish price action reversal on the H1 time frame immediately upon the next touch of 0.7073 or 0.7153.
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.
NZD/USD Analysis
I wrote yesterday that the resistance at around 0.7068 would be key to the next short-term move. As it turned out, this area did hold as resistance, producing another move down and bullish bounce off the support identified at 0.7017. I put that level a few pips lower now, and the resistance just a few pips higher, but the same structure essentially remains in place: a long-term bullish trend, with the price trapped between support at 0.7013 and resistance at 0.7073 as we head into the FOMC release due later.There is nothing due today concerning the NZD. Regarding the USD, there will be a release of Core Durable Goods Orders data at 1:30pm London time, followed by Crude Oil Inventories at 3:30pm, ending with the FOMC Statement and Federal Funds Rate at 7pm.