Let’s start the day by getting the 411 on EUR/CHF. Looking at the 4-hour chart, we see that the pair is just kickin’ it like Adidas at the 61.8% Fib. Hmmm, could it be that buyers are revving up to push the pair back up to 1.2700? Checking out Stochastic that just hit the oversold turf, they may just be! I don’t know if it’s just my brand new Ray B’s, but it kinda looks like there’s a possible hidden bullish divergence with the pair making higher lows and Stochastic making lower lows. Don’t get too giddy rooting for the euro just yet though. Remember that the lines still haven’t crossed over each other. Who knows! The pair could tumble back to its all-time lows!
Potential bear move on GBP/JPY incoming homies! It looks like the bulls are finally running out of steam, as price was unable to pierce through the 50% Fibonacci retracement level. This caused a hanging man candlestick pattern to appear on the daily chart, indicating that the pullback could possibly be over and a reversal is in the cards. If we see the bears start taking over again, look for the pair to test former lows around the 126.00 handle! Be careful though, as the Stochastic indicate that the pair is not yet overbought!
Aha! It looks like the Loonie bulls still aren’t done partyin’ at p-p-parity! Get dibs on USD/CAD on the daily chart yo! Don’t the candlesticks look like they’re forming a conga line? Ha! If there are enough sellers to get the conga line going farther down into the bear lair, we may just see USD/CAD test support around .9800. However, if there aren’t enough of them to reprezent, the pair may just end back up at its previous high at around 1.0160.