NZD/USD Forex Signal - 23 November 2016

NZD/USD Signal Update

Yesterday’s signals were not triggered as the bullish price action took place slightly below 0.7040.

 

Today’s NZD/USD Signals

Risk 0.75%

Trades must be taken from 8am New York time to 5pm Tokyo time, during the next 24-hour period only.

 

Long Trades

* Go long following a bullish price action reversal on the H1 time frame immediately upon the next touch of 0.7048, 0.7034 or 0.7000.

* 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

* Go short following a bearish price action reversal on the H1 time frame immediately upon the next touch of 0.7086 or 0.7144.

* 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

We see a continuation of bullishness but unlike the AUD/USD it does not look very convincing or at least, it looks more doubtful, as we have a triple top / Quasimodo style looking bearish off 0.7086 and the area just below it. However, it is also true that we have a lot of support between 0.7048 and 0.7030 which may also hold.

It will take the FOMC release later to move the price beyond either side of these structures. AUD/USD would probably be better for a similar long USD trade anyway.

NZDUSD

There is nothing due today regarding the NZD. Concerning the USD, there will be releases of Core Durable Goods Orders and Unemployment Claims data at 1:30pm London time, followed later by Crude Oil Inventories at 3:30pm and FOMC Meeting Minutes at 7pm.

Adam Lemon

Adam Lemon began his role at DailyForex in 2013 when he was brought in as an in-house Chief Analyst. Adam trades Forex, stocks and other instruments in his own account. Adam believes that it is very possible for retail traders/investors to secure a positive return over time provided they limit their risks, follow trends, and persevere through short-term losing streaks – provided only reputable brokerages are used. He has previously worked within financial markets over a 12-year period, including 6 years with Merrill Lynch.