First up for today is a simple range setup on EUR/USD’s 4-hour chart. The pair is consolidating around the 1.2830 area, which is a former support zone in the chart. And check it out – Stochastic is in the oversold territory! Will the range bottom continue to serve as support for EUR/USD or will the euro bears push the pair below 1.2800 today?
Next up is a hot divergence action on EUR/GBP’s 4-hour chart. Aside from hesitating at the .8000 major psychological handle, the pair is also sporting a possible bullish divergence. A stop loss below the .8000 area could give a good reward-to-risk trade if you’re buying the pair, but you could also wait for a break below the level if you’re one of them euro bears.
Somebody holler at Happy Pip because this comdoll setup is too good to miss! AUD/USD just printed a doji on the 4-hour chart, which opens up a possible morning star pattern right smack at the 38.2% and 50% Fib areas. Stochastic is on the oversold region too, so you better get your trading plans ready if you’re planning on getting a piece of the Aussie uptrend.
To get the complete picture and avoid getting blindsided by economic data, you also have to do your fundamental analysis.