EURNZD is in a very strong upward trend, you can see that by looking at the daily chart over the last month or so. A series of higher lows and higher highs certifies that trend and i want to take advantage of that by looking at long opportunities down on the lower timeframes, but only in the zones that i think are most important, like daily structure. Here you can see a yellow box representing a big structure zone that i'm paying attention to. Here, on the hourly chart, price went oversold and created a double bottom followed by a break of structure to the upside. This creates the condition for a 2618 trade and i'm taking this long if price will retrace at that level (blue line), with stops and targets as shown above.
If you have any idea/question, feel free to comment below. Otherwise, see you in the next chart!
Hello @Roker1, thank you for the great analysis. I am following your idea with the only mention on the Risk Reward Ratio being low.
Roker1
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@Telson, my rule is to have it at least 1:1, but i get your point. You can try move the target higher, but i would pay attention to the 1,68 zone because price could continue lower if it can't break that structure point.