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Chart of the Day: NZD/USD

Wednesday, 26 November 2008 05:00:48 GMT

Written by Thomas Long, Power Course Instructor

Similar to the USD/CHF we talked about yesterday, the NZD/USD is also moving up off of the lows while in a strong downtrend.

11-26 nzdusd

This is another market that is signaling a potential selling opportunity. Entry can be determined by a technical indicator that shows changing momentum with a stop placed above the high of this move up. Profit targets should be placed at the point that is twice risk. If you risk 100 pips on the trade, look for 200 pips is profit.

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