Monday, May 5, 2014

Good shorting opportunity soon (NZD/USD)

Although I am expecting this pair to top somewhere over 0.88,  for tomorrow I believe there is a good shorting opportunity at 0.8705.  More on this later, but this does look very promising so wanted to post before I forgot.. here's the chart:
 
 
 
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Update 1 : This trade I pointed out to yesterday didn't turn out too well.  I shorted at .08705 as planned, and almost immediately, it jumped 70 pips higher.. I added higher and got out with a small profit after midnight, only to watch it drift lower.
 
Everytime you think a move is definitely over, it seems to go on just that little bit further to trick you into closing a position.  I am preferring a different approach with using stops. Scale in a position with multiple entries, (in a zone you think will hold) and place a stop on all entries at a point where you are convinced the trade idea is wrong. Its a risker strategy, but with volatile markets, it higher your odds to succeed..
 
I am planning on going long the Nzd/Usd  (small position) close to 0.8840...here is the chart, and a related gbp/nzd entry as well.
 
 
first is nzd/usd....then the gbp/nzd
 
 
 

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