I've just shorted NZD/USD at 0.7381 for a 50% position. I tried shorting NZD/USD last week unsuccessfully. But now I'm giving this another try for the following reasons:
- Significant at 0.75 as [described previously][shorting NZD/USD last week unsuccessfully], see Fig. 1
- Short term lower top right below 0.75, see Fig. 2
- RSI divergence, although this is almost moot now since NZD/USD has been chugging upward relentlessly
- EUR/USD is making a double top at 1.4850
- So I'm using this to hedge my EUR/JPY long, in case EUR falls
I'm entering with a half position because the intermediate term trend is still up. Position Size: 50% Entry: 0.7381 Stop: 0.7430 Target: 0.7200 Reward / Risk = 181 / 49 = 3.7 > 3 Update: Stopped out overnight at 0.7430 (-48.60 pips) for a loss of \$15.01.