NZDUSD trade idea

Thought I’d poss up some Forex trading snacks!
The NZDUSD is coming into a short term risk reward zone and up against a falling channel trend line. I see this as an opportunity to short some mainly because the price action is heading into multiple technical resistance zones and the back story is one of one of the most dovish central banks VS one central bank that is reluctantly becoming dovish. Also set into the mix, with a risk off stance currently entering the markets—the stronger of the two currencies is the USD just on it’s safe haven status.

On this 4 hour chart you can see the falling channel and current price action hovering around the upper channel around 0.6450
Using the last daily high price around 0.6470 as a stop zone, which is also above the falling trend line for some more possible added resistance. The pair would need to break what has been a stronger trend of late to invalidate this setup. My target for entry is 0.6440-50 , my targets would be the recent years low around 0.6300-50

Recap; short trade entry 0.6440-50
Stop. 0.6470
Total risk. 20-30 pips
Target 0.6300-50 or 100-150 pips
Risk reward Better then 1-3

Trade idea is only for education and training. Should you trade any idea the assumption of risk is all yours.

In trading you either make dust or you eat dust.
Plan your trade and trade you own plan.
All the best

Dagangan aktif:

Well that didn’t take long. Lol
Short at 0.6455
Stop at 0.6470 ( 15 pips )

Dagangan ditutup secara manual:

Trend line break on the 4H is concerning on the idea seeing it really hasn’t broken top of the resistance zone to totally invalidate the idea.
Closed it manually for like 1 pip, really nothing at all. But I’m looking to maybe see how price action is towards top zone and re enter there for another try.
Fundamentals remain the same bearish fir the pair.