Yesterday’s signals were not triggered as none of the key levels were ever reached.
Today’s NZD/USD Signals
Risk 0.75%
Trades may only be taken between 8am New York time and 5pm Tokyo time, during the next 24-hour period.
Long Trades
Long entry following a bullish price action reversal on the H1 time frame immediately upon the next touch of 0.7010 or 0.6974.
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 run.
Short Trade 1
Short entry following a bearish price action reversal on the H1 time frame immediately upon the next entry into the zone between 0.7087 and 0.7114.
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 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 the directional outlook looked quite neutral, with shorts maybe looking a little more attractive than longs. The movement has been neutral and the pattern is one of consolidation between roughly 0.7000 and 0.7100 which might give a trading opportunity with a conservative profit target. There are likely to be better opportunities in other currency pairs.
There is nothing due today regarding the NZD. Concerning the USD, there will be a release of Unemployment Claims at 2:30pm London time, followed 15 minutes later by a speech from the Chair of the U.S. Federal Reserve.