In going through my analysis, I looked at NZD as a potential short, but when I started looking at pairs in TradingView, I didn’t look at NZD/CAD. I didn’t like the other pairs I looked at, so I was just monitoring for a while, when it dawned on me that I wanted to look at NZD, too, and since CAD was the only currency I looked at taking long, I looked at this pair.
CAD has been pushing higher over the last 4 days, after making a trend-reversing move. NZD, with more reasons to be strong than not, hasn’t been and was down a bit on the day. It had pushed further down, but rallied closer to it’s open. When I looked at this pair, it looked like a great short as it wasn’t sitting on any major support and price was pushing down. On the hourly chart, it formed a pretty clear bear rally, so I set an entry order.
Entry – 0.86602
It took a couple of hours, but price steadily pushed down, eventually getting a big spike-down triggering me into the trade.
| Entry Order Level |
|---|
| 0.86602 |
| Stop Loss Level |
| 0.8688 |
| Target Level |
| 0.86 |
Exit – 0.86577
Price pushed pretty strong in my favor, but it didn’t sustain immediately. It rallied shortly after the big drop, back up to my entry. After that, though, it started to head back down quite a bit and moved to 1R later on in the afternoon, which is when I moved my stop to the most recent SAR on the hourly chart as it was below my entry.
I was able to move my stop about 2 SAR’s past my entry on the hourly chart before I went to bed. I checked periodically when I woke up sometimes, and one of those times, I saw that price rallied again, enough to stop me out. It was essentially break even, but I’ll take that for sure.
