Dear Price Action Trader,

Today’s price action setup is coming from the GBP/NZD currency pair. Any successful trader with a great trading discipline would have probably entered on the first signal that came from this pair two trading sessions ago. Here, we have two consecutive bullish engulfing patterns that show us that the market participants are becoming increasingly eager to test higher and higher levels.

This price action setup is confirming the case for the bulls and is showing us that traders’ psychology continue to be bullish. Therefore, our vision is that the price is giving a clear buy signal at 2.0515. The stop should be place under the level of 2.0215. The initial target should be at 2.1000, although it by no means should be the¬†ultimate target. Price action traders should be looking for a pattern that is giving a sell signal around this level. If such a signal is not given by the price, the position should be let to run for even bigger profits.

Happy Trading,

Colibri Trader