I was short yesterday with NZDCHF 0.64% before the new announcement cause some chaos. I got out of the trade later in the day down a few pips waiting to see how it would react. I saw the price go up back to the previous swing high (news spike) and now have seen enough price action to let me enter the trade short again.
Comment
There were two reasons I took this trade:
1) Two engulfing bearish candles on 1 hour at downward trendline including the news spike
2) Stoch RSI highs (.70+) excluding the news spike showed lower highs. So when price came back to retest previous high before news spike it ran into the downward trend and closed with (1) above.
Comment
After seeing what NZDJPY currency is doing, I've moved my stop loss above the most previous swing high. I am still at a 1:1 RR or better for both positions. I still believe the price will move down in the coming day(s).
The information and publications are not meant to be, and do not constitute, financial, investment, trading, or other types of advice or recommendations supplied or endorsed by TradingView. Read more in the Terms of Use.