Yesterday’s signals were not triggered as there was insufficiently bullish price action at 0.6938 or 0.6897.
Today’s NZD/USD Signals
Risk 0.75%
Trades may only be taken 8am New York time and 5pm Tokyo time, over the next 24-hour period only.
Long Trade 1
Long entry following a bullish price action reversal on the H1 time frame immediately upon the next touch of 0.6859.
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 touch of 0.6938.
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
This pair continues to look bearish and continues to fall. It is often tempting during these strong trends to assume that the price is bound to turn around some time soon, but there is no reason why it should as statistics show that strong trends are always more likely to continue than reverse. We have had more breaks of support and new resistance at 0.6938 so the outlook here is simply bearish in every way and over every time frame.
There is nothing due today concerning the NZD. Regarding the USD, there will be a release of Unemployment Claims data at 1:30pm London time.