NZDUSD in the London session: a case for dropping it

[FXS London Scalper]

NZDUSD is on many scalpers' London lists, and it's worth asking whether it earns its place there. A few reasons it might not:

• Spreads during London are often noticeably wider than on EURUSD, while the average move is smaller. Check both on your account.
• The pair often follows AUDUSD with a small delay, so you may be trading a weaker version of AUD.
• Fewer charts means better focus on the pairs that matter.

How to decide on your own numbers: filter your journal for the same setups on NZDUSD and on EURUSD during London. Compare expectancy per trade after costs. If NZDUSD is negative over 50 or more trades while EURUSD is positive on the same setups, the setups aren't the issue; the pair is.

Also compare cost as a share of the average move. A worked example: 1.2 pips of spread on a 12 pip average hourly range is 10%; 0.2 pips on an 18 pip range is about 1%.

NZD does move during its own session and around New Zealand data, so the pair isn't bad in general. It just may not fit a London morning routine.

Has anyone dropped a pair for similar reasons? Did NZD work better for you in a different session?