Make or Break time for Newzealand dollar at multi-year Highs

Earlier, In My Blog posts I have discussed a lot about Possible "Trade-locations", which could be a Hot-spot area in a bracket, Multi-year highs, Intermediate false breakout, or a neutral activity after a strong breakout. First of all, the biggest example is eur/usd breakdown at multi-year high and the chart was posted and now I am looking for the same to happen in Nzd/usd.

Idea is to look for high probability trades, by this I don't mean to hedge the position if price price breakout that trade-location to the upside again.

When Trade location Inside a bracket

Price is in bracket still after false breakout of multi year high, which is a strong break above 0.8700 area, after that we have seen continuous decline on h4 and h1 chart which tells us about possible market has broken the floor and after the rejection candle we get today, which is strong bearish engulfing starting way high from yesterday's close and stops should be around 0.8680.

You can wait for possible more evidence or strong selling and the break of confluence and lows but as I have already spoken earlier, that always try to sell after upside breakout (beside "Context" tells you to do so)and buy after strong breakout to the downside specially when it is a responsive-activity.(By responsive activity I mean strong trend after breakout and then price goes sideways on neutral activity and break below the range of the day ) I have discussed all the "Breakouts" earlier on this blog.

Continuous efforts to rise and multiple rejections, then we saw narrow trading range which always give us strong hints, how price could behave and If our assumption is right, then probably it will be a start of larger move up or down. But as price is giving us hint that it could be a mature trend, as we have seen some strong momentum from the lows ( after breakout), certain rapid moves after intermediate false breakout and break above the multi-year high and rejection from there was strong, so short entry is advised with tight stops.

SO, Its always better to wait for price action to unfold in favor

It's always better to wait for much stronger assumptions, rather than waiting for price to offer a pullback entry to join the trend(If there is any and it has already offered few of them ), because it is not a sign of versatile trader, and when price is offering a reversal or counter-trend trade like this and we have seen an that happen as an example (Eur-usd) earlier, then we should take a less "risky" trade which offer good reward .