Last Tuesday’s signals could have produced a losing trade at the bearish rejection of 0.6620 which unfortunately gave just a little less than the minimum 20 pips of profit, but I indicated a bullish bias.
Today’s NZD/USD Signals
Risk 0.75%.
Trades must be entered from 8am New York time to 5pm Tokyo time, over the next 24-hour period only.
Short Trades
Short entry following bearish price action on the H1 time frame immediately upon the next touch of 0.6671 or 0.6720.
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.
Long Trades
Long entry following bullish price action on the H1 time frame immediately upon the next touch of 0.6635, 0.6622, or 0.6600.
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.
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 last Tuesday that I would be bullish if the price could remain above 0.6589 as the New York session gets underway, but I would not be bearish on this pair under any circumstances. This was a great call, as the price remained at even higher levels and continued to advance strongly.
This pair still looks more bullish than ever and seems more strongly directional than any other important currency pair, so I maintain a bullish bias until 0.6672 and possibly even beyond that, if the resistance level there is broken easily later.
There is nothing important due today concerning either the NZD or the USD.