Today’s NZD/USD Signals
- Risk 0.50%.
- Trades may only be entered from 8am New York time until 5pm Tokyo time, over the next 24-hour period.
Short Trades
- Short entry following bearish price action on the H1 time frame immediately upon the next touch of 0.6640 or 0.6700.
- 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 1H1 time frame H1H1H1 time frame immediately upon the next touch of 0.6575 or 0.6530.
- 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
The US dollar continue to regain power, supported by the Federal Reserve's interest rate hike and the Bank's desire to continue the rate hike, ignoring Trump's criticism. The pair has fallen to the 0.6600 level, and any move below this level will increase the pair's selling actions and maintain the bearish outlook for the pair. The continuation of the US-China trade war will ultimately benefit the US dollar.
There is nothing important due today concerning the NZD. Regarding the USD, there will be the release of the ISM industrial index and spending on construction.