Let’s start the week off with this retracement play on EUR/USD! As y’all can clearly see, 1.3100 has been holding the euro bulls off like a boss. It served as a strong resistance level in the past, and now that it lines up with the 38.2% Fib level, it looks as though it’ll hold once more. If you’re feeling bearish for the euro, aim for the previous low around 1.2800. But if you think the pair’s destined to climb higher, it’s better to wait for price to break through 1.3100 before buying it up.
It looks like we’re gonna get another shot at playing the long-term range on AUD/USD, homies! The pair has been making its way down as of late, and it looks like it’ll reach the 1.0200 major support zone soon. With Stochastic already indicating oversold conditions and showing a bullish divergence, we could end up seeing a major reversal in this area of interest. Keep tabs on it, son!
Another comdoll pair to keep an eye on this week is USD/CAD. After staging a rally last week, it’s now within striking zone of a long-term falling trend line. If you think the pair will continue to trade downwards, look to establish a position as price approaches the trend line. On the other hand, if you’re feeling bullish, wait for price to close convincingly above the trend line before committing to go long.
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.