NZD JPY Trade.NZD/JPY Trade Setup
The NZD/JPY pair frequently breaks through order blocks to grab liquidity before reversing.
FVG and Bullish Engulfing (M3):
Look for a Fair Value Gap (FVG) on the M3 timeframe.
Confirmation comes with a bullish engulfing candle forming within the FVG.
Market Structure Shift (MSS):
Wait for a market structure shift above the FVG, signaling a transition to bullish momentum.
Target: Aim for a 30-pip move.
Asian Low Taken Out:
Price tends to take out the Asian session low, acting as a liquidity grab before reversing.
Fibonacci 61.8% Rejection:
Watch for price rejection near the 61.8% Fibonacci retracement level, adding confluence to the setup.
H1 Order Block Behavior:
The NZD/JPY pair has a tested tendency to break H1 order blocks to grab liquidity before moving in the intended direction.