Yesterday’s signals were not triggered, as there was no bearish price action at 0.6851.
Today’s NZD/USD Signals
Risk 0.75%.
Trades may only be entered between 8am New York time Thursday and 5pm Tokyo time Friday.
Short Trades
Go short following bearish price action on the H1 time frame immediately upon the next touch of 0.6851 or 0.6873.
Place the stop loss 1 pip above the local swing high.
Move the stop loss to break even once the trade is 20 pips in profit.
Take off 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
Go long following bullish price action on the H1 time frame immediately upon the next touch of 0.6789 or 0.6765.
Place the stop loss 1 pip above the local swing high.
Move the stop loss to break even once the trade is 20 pips in profit.
Take off 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 it was hard to say what was likely to happen next. I thought that the support at 0.6820 may well hold but the resistance levels above also looked solid. For these reasons, I had no directional bias today. I think this was good as the action has reversed in an unpredictable way.
The best I can say now is that it looks like we will see lower prices still, maybe the price will even go down as far as 0.6789 which looks like to be relatively strong support if reached.
There is nothing of high importance due today concerning the NZD or the USD.