Direct from the desk of Dane Williams.
Our whole trading philosophy revolves around waiting for the market to confirm to us which direction to trade.
Why fight the tide if you can just swim with it?
Be a seller when price rejects resistance and be a buyer when price holds support.'
Trading forex really doesn't have to be rocket surgery.
With NZD/USD capped by clear daily resistance, there is no better example across forex markets right now.
Click the link if you haven't been following the blog and check out the updated Kiwi daily chart below.
NZD/USD Daily:
You can see price has now printed a clear gravestone doji right on the most significant zone in the history of NZD/USD.
The market is clearly respecting resistance and as long as price is below the zone, we want to be sellers.
There's still no need to fight the tide if we don't have to.
From here, zoom into an intraday chart such as the hourly and look for levels of short term support to form.
When those levels are broken, short into a retest of those levels in order to refine your entry.
The harder that price rejects off the higher time frame zone, the cleaner your intraday entries can get and the daily gravestone doji makes this setup a juicy one.
Best of probabilities to you,
Dane.
FOREX BROKR | Hive Blog
Higher time frame market analysis.