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NZD/JPY Long Opportunity at 61.31

The information, including Commentary and Trade Ideas, provided on FX360.com should not be relied upon as a substitute for extensive independent research which should be performed before making your investment decisions. Global Forex Trading and FX360 .com is merely providing this information for your general information. The information and opinions presented do not take into account any particular individual’s investment objectives, financial situation, or needs. All investors should obtain advice based on their unique situation before making any investment decision and should tailor the trade size and leverage of their trading to their personal risk appetite. Any projections or views of the market provided by FX360.com may not prove to be accurate.

Last updated 3/2/2010 8:11 PM EST (GMT -5) 0 Comments - Add your comment

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Bradley W. Gareiss

Technical Analyst, GFT

A bullish Gartley pattern is emerging on the NZD/JPY 1hr Chart.  So far the trade has excellent symmetry in both price and time.  There is also a secondary ABCD that is forming with the primary CD leg.  The primary concern is that the distance between the entry and the stop is only twenty pips, but I think the risk is acceptable.  Otherwise, this is a ver straightforward trade.

We are looking to buy the NZD/JPY if it falls to 61.31 (Point D).  Point D is located at the convergence of the following points:

We will now go over what to watch for assuming the pair continues falling toward our entry at 61.31.  If the pair moves down rapidly and has long bars near point D, we will not enter the trade.  Also, if the pair comes within 8 pips of reaching our entry, does not enter, and reaches T1 before entering, the trade is invalid.  The trade is also invalid if the pair rises above 62.30 before hitting our entry.

To recap, we will look to buy the NZD/JPY at 61.31 with our stop placed at 61.10.  Our initial profit target is 61.62 (38.2% of CD).

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  • 1hr Chart - Bullish Gartley; buy at 61.31
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  • 15min Chart - Secondary bullish ABCD within primary CD leg.

The information, including Commentary and Trade Ideas, provided on FX360.com should not be relied upon as a substitute for extensive independent research which should be performed before making your investment decisions. Global Forex Trading and FX360 .com is merely providing this information for your general information. The information and opinions presented do not take into account any particular individual’s investment objectives, financial situation, or needs. All investors should obtain advice based on their unique situation before making any investment decision and should tailor the trade size and leverage of their trading to their personal risk appetite. Any projections or views of the market provided by FX360.com may not prove to be accurate.

The views of the authors and analysts are not necessarily those of Global Forex Trading, its owners, officers, agents or other employees. FX360.com and the currency research team will not be responsible for any losses incurred on investments made by readers and clients as a result of any information contained on FX360.com. Global Forex Trading and the currency research team do not render investment, legal, accounting, tax, or other professional advice. If investment, legal, tax, or other expert assistance is required, the services of a competent professional should be sought.

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