Strategy: Pending Short

Last week, we suggested NZDUSD topping signs were starting to emerge below the 0.88 figure. Indeed, the pair turned violently downward to hit support to meet rising trend line support set from mid-May. Risk/reward considerations argue against entering at current levels and we will look for either a break through the trend line (exposing the 0.81 figure) or a bounce to establish a short position.

NZDUSD_Candles_Pin_Down_Top_at_0.88_body_Picture_5.png, NZDUSD: Candles Pin Down Top at 0.88

To discuss these strategies with other traders, please visit the Candlestick Forum

To receive future articles by email, please contact Ilya at ispivak@dailyfx.com