Trading AUDUSD NZDUSD | Judas Swing Strategy 20/05/2025

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We’re halfway through the week and already sitting on two clean setups, all rooted in the Judas Swing Strategy. After Monday gave us nothing worth trading, Tuesday served up textbook opportunities on AUDUSD and $NZDUSD. In this breakdown, we’ll walk through two trades from Tuesday and highlight how they followed the exact Judas Swing playbook: manipulation first, then break of structure, retracement and execution

AUDUSD: The Classic Fakeout Reversal
Tuesday's AUDUSD setup was as clean as they come. Price action leading into our session was heading downward. Liquidity had built up nicely above and below our zones giving us the bait we needed for the Judas Swing setup to trigger.

As expected, our session opened with a sharp fake move to the downside, sweeping the sell-side liquidity and trapping breakout sellers. What came next was the real clue: a decisive break of structure to the upside, signaling that the manipulation was complete and the true direction was about to unfold.

Price formed a Fair Value Gap (FVG) during the move up, and once it retraced into that imbalance, we executed our buy:

Entry: 0.64007
Stop Loss: 0.63907
Take Profit: 0.64207

The result? We faced some drawdown and a clean move into target. It was a low-stress trade that respected the plan from entry to exit
snapshot


NZDUSD: Same Script
If AUDUSD was the blueprint, NZDUSD mirrored it almost exactly since they are closely correlated pairs.

Again, we started the session with a tight range. Liquidity had stacked nicely above and below the zone. Then, right on cue, the market delivered its Judas move, a fast pump below the pre-session lows, baiting in breakout shorts.

This was followed by a swift rejection and a clear break of structure to the upside. Once that displacement printed a Fair Value Gap, we knew where our opportunity lay.

Entry: 0.59002
Stop Loss: 0.58902
Take Profit: 0.59202

We entered on the retrace, and price moved smoothly in our favor. The difference here? We barely faced any drawdown on this trade as it moved straight to hit our TP putting us up 4% on the two trades
snapshot

These setups reinforce why the Judas Swing Strategy is so effective in manipulated markets:

- We don’t chase breakouts we wait for the trap
- We don’t force trades we wait for displacement and confirmation
- We trust our backtested process even when we miss trades or price misses TP by a whisker

Not every trade will close out perfectly, but this method is built around structured logic and patience

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