We are following a simple, well known technical pattern, named Pivots, in order to find out opportunities in the market. Pivot points are calculated as an average of significant prices from the performance of the market in the prior trading day. The Pivots are often turning points for the direction of price movement in the market.
Our methodology is straightforward. Firstly, we determine the trend of the market in daily timeframe. Secondly, we are looking for a confluence of Pivots and other technical indicators (like Fibonacci levels, RSI, SO and so on) in the same area. If this happens then we may have a potential entry setup.
If there is a buy setup, then the upper pivots (R) can represent potential upside targets.
If there is a sell setup then the lower pivots (S) can represent potential downside targets.
The trade will be busted if the price violates the indicative Stop-Loss.
Always review your own analysis. If there is a confluence between the current study and your own strategy, then you may have even better trading setups.
EURNZD Daily
Trading Plan
