Monthly chart in downward trend. View monthly chart in Ideas (www.tradingview.com/chart/GBPNZD...)
--Daily chart shows GN in a downward trend as noted by lower high and lower low along with 10 EMA below 20 EMA .
--Yesterday's candle rejected higher price as noted by long upper wick rejecting prices above 20 EMA .
--Yesterday's candle closed near its low showing bears in control of market.
These conditions indicate this pair ready to move lower.
Short trade setup:
--Stop Loss set at 2 x Spread (2 times spread) above high of rejection candle.
--Entry set at 2 x Spread below rejection candle.
--Take Profit set at 3:1 Reward to risk ratio (no major resistance between Open and TP.
Average daily trading range is 170 PIP's
Estimated length of trade is 3 to 4 days.
--Daily chart shows GN in a downward trend as noted by lower high and lower low along with 10 EMA below 20 EMA .
--Yesterday's candle rejected higher price as noted by long upper wick rejecting prices above 20 EMA .
--Yesterday's candle closed near its low showing bears in control of market.
These conditions indicate this pair ready to move lower.
Short trade setup:
--Stop Loss set at 2 x Spread (2 times spread) above high of rejection candle.
--Entry set at 2 x Spread below rejection candle.
--Take Profit set at 3:1 Reward to risk ratio (no major resistance between Open and TP.
Average daily trading range is 170 PIP's
Estimated length of trade is 3 to 4 days.