The first chart for today is a basic support-turned-resistance setup on EUR/CAD. As you can see from the chart I posted, the pair retested and bounced off the former support at 1.3300, which is a key area of interest. With the Stochastic slowly moving lower, it seems that the bears are in control of the pair. If this keeps up, we could see the 1.3000 level be tested again.
Will you look at that? I spy with my eye a potential pullback play on EUR/USD! Yesterday, after topping at 1.3121, the pair suddenly started retracing. I don’t know how much lower it will pull back, but if you’re part of the bull camp, then you could have a chance to jump in long at a good price. The 50% Fibonacci retracement level, for instance, looks like a nice area to enter as it nicely lines up with a broken falling trend line.
Triangle traders, assemble! I’m sure you don’t want to miss this amazing potential symmetrical triangle breakout play on GBP/USD! Now, price can go either way when the triangle breaks, so you better be prepared for both scenarios. If you’re looking to go long on the pair, then keep a close eye on the 1.5330-1.5350 area carefully. A convincing close above it could mean that the bulls have seized control of the pair and wishes to push it even higher, possibly to the 1.5400 area. On the other hand, if you’re part of the bear camp, you need to watch the 1.5300 level. A significant close below it could mean that the pair is headed for 1.5200.
To get the complete picture and avoid getting blindsided by economic data, you also have to do your fundamental analysis.
Lucky for us, Pip Diddy fills us in on what we need to know about fundamentals with his Daily Forex Fundamentals.