I don’t always use the 100 SMA, but when I do, I use it on this sweet trend setup! Not only is EUR/AUD supported by a rising trend line on the 1-hour chart, but it also hasn’t traded below the 100 SMA since last week! Will the trend continue this week? Keep a close eye on this setup, homies!
Here’s one for the yen bears! AUD/JPY has just left the 91.50 area, which is right smack at a mid-channel support on the 4-hour chart. If you think that the pair is headed for its previous highs near 94.50, then you go for a long trade with your stop loss somewhere below the mid-channel support. Read up on trading the crosses if you haven’t tried it yet!
Last one up for today is a possible double bottom play on the comdolls. AUD/NZD had just bounced from its previous lows and it looks like it’s headed for the neckline near the 1.1400 zone. And look at that – stochastic is in the oversold region! A stop just below the previous lows could get you a sweet risk ratio if you believe that this baby is headed for the neckline area.
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.