NZD/USD Forex Signal - 24 June 2019

NZDUSD analysis: Firm bullish continuation within long-term range

Last Thursday’s signals were not triggered, as the price action at the resistance level of 0.6605 did not take the right form, although this level held the high of the day to the pip so was extremely accurate.

Today’s NZD/USD Signals

Risk 0.75%.

Trades must be entered from 8am New York time Monday until 5pm Tokyo time Tuesday.

Short Trade

  • Go short following bearish price action on the H1 time frame immediately upon the next touch of 0.6653.

  • 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 0.6605, 0.6590, or 0.6558.

  • 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 last Thursday that the move against the USD we had seen everywhere over the past day had been stronger here than in AUD/USD which was another bullish sign for NZD/USD. The move looked firm and the price was threatening to break up above another resistance level at 0.6590, but there was resistance not far above that confluent with the round number at 0.6600. A break above that would be a bullish sign.

This was a good call as 0.6600 was a very pivotal area which held and produced a bearish retracement. However, since then the price has recovered strongly, breaking up above 0.6600 and looking more bullish. Again, the NZD looks more bullish than the AUD, which is a bullish sign. The line of least resistance is upwards, so I think we are likely to see the price advance towards 0.6650 as long as the support level at 0.6605 holds firm. If there is a strong bullish bounce there later or at the support level below it, I would take a bullish bias today.NZDUSD

There is nothing of high importance due today concerning either the NZD or the USD.

Adam Lemon

Adam Lemon began his role at DailyForex in 2013 when he was brought in as an in-house Chief Analyst. Adam trades Forex, stocks and other instruments in his own account. Adam believes that it is very possible for retail traders/investors to secure a positive return over time provided they limit their risks, follow trends, and persevere through short-term losing streaks – provided only reputable brokerages are used. He has previously worked within financial markets over a 12-year period, including 6 years with Merrill Lynch.