Short NZD/UD Again, Rinse and Repeat - Forex News by FX Leaders
The 50 SMA has been pushing NZD/USD lower recently

Short NZD/UD Again, Rinse and Repeat

Posted Monday, September 2, 2019 by
Skerdian Meta • 1 min read

We have been trading AUD/USD and NZD/USD often in the last several weeks. These two pairs have been sliding lower constantly since the middle of July and in the last few weeks we have increased our signals here since it became increasingly obvious that the commodity dollars are doomed until the trade war between the US and China ends.

The trade plan has been pretty simple – wait for the retraces higher to end and then sell the crap out of them. Picking the tops on pullbacks higher hasn’t been that difficult either; you just wait for the price to reach one of the moving averages and then go short on them after getting a reversing signal up there.

Last Friday we opened a sell signal on NZD/USD when the price was at the 50 SMA (yellow). That signal closed in the afternoon that day as the price reversed down after the 50 SMA rejected it. Today, we see that the price has retraced to the 50 SMA once again on the H1 chart, so we decided to take this opportunity and go short again on NZD/USD. Now, all we have to do is wait for the pullback to end and the bearish trend to resume.

Check out our free forex signals
Follow the top economic events on FX Leaders economic calendar
Trade better, discover more Forex Trading Strategies

About the author

Skerdian Meta // Lead Analyst
Skerdian Meta Lead Analyst. Skerdian is a professional Forex trader and a market analyst. He has been actively engaged in market analysis for the past 11 years. Before becoming our head analyst, Skerdian served as a trader and market analyst in Saxo Bank's local branch, Aksioner. Skerdian specialized in experimenting with developing models and hands-on trading. Skerdian has a masters degree in finance and investment.
Related Articles
0 0 vote
Article Rating
Notify of
Inline Feedbacks
View all comments