EUR/NZD exhaustion of momentum to the downside — potential false breakout setup

In the H4 timeframe, EUR/NZD showed shortening of the thrust tot he downside suggested the down momentum is exhausting. This could potentially set up a false breakout setup should EUR/NZD has a down swing to test the support level at 1.7440. Watch the video below (timestamp starts 3:28) to find out how you can trade the false breakout with reversal setup after seeking confirmation while profiting from the trapped traders below:

Below are the key parameters for EUR/NZD potential long setup for trading session on 5 Nov 2020. Pay attention to the confirmation signal as detailed in the video to ensure the false breakout setup is valid.

Entry: long limit order at 1.7445 (look for confirmation signal for valid entry)

Stop loss: 1.7367

Take profit: 1.7589

Photo by Author — Ming Jong Tey

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