First up, here’s an update of that EUR/USD chart from last Monday. EUR/USD is slowly making its way up the charts but has yet to taste the 1.4000 mark. I suspect that we’ll see a lot of selling pressure at this area, as it served as an area of interest in the past and also lines up closely with the 61.8% Fib level. Stochastic is also in overbought territory, so we could see sellers come back to bust a pip once the pair tests the resistance level. I’ve got a feeling that Huck might give this one a shot!
Next up is a sweet ascending channel on NZD/USD. After topping out just above .8100 earlier last week, the Kiwi has now dropped over 150 pips. However, we could see the pair’s decline come to an end soon, as it is very close to testing a rising support trend line. I suggest waiting for the pair to test the support area and see if any reversal candlesticks form. If we do see any, you know what to do Happy Pip!
Lastly, here’s a potential breakout trade in the making. GBP/JPY has recently been consolidating into an ascending triangle, as it’s formed higher lows, but found tough resistance at the 122.00 mark. With price about to test the resistance level for the 4th time soon, a breakout could be imminent. Cyclopip, you might wanna keep your eye on this one!
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.