First on the lineup for today’s Swissy + chart pattern double special is that there descending channel on CHF/JPY’s 1-hour chart. Price is currently making its way higher and bulls may be gunning for the channel’s resistance area, which happens to line up with the 105.30 handle (dashed horizontal line). However, just know that there’s a chance that the pair may move lower without testing the channel’s resistance area since stochastic is already signalling overbought conditions. Also, price seems to be hesitating at the mid-channel area. And the 100 SMA appears to be acting as dynamic resistance to boot.
Next, we have that there ascending channel for NZD/CHF. As y’all can see, price is about to reach the channel’s resistance area, so y’all better get ready to start looking for opportunities to sell. All the more so since stochastic has already reached overbought territory. Shorting at the resistance area of an ascending channel is a counter-trend setup, though, so more conservative forex traders may wanna sit this one out for now.
Finally, check out that there symmetrical triangle pattern on GBP/CHF’s 1-hour chart. A symmetrical pattern means that bulls and bears are playing a game of tug-of-war, but neither side is really winning. As such, the pair could break in either direction. And should a breakout occur, then the resulting rally or selloff could last for around 680 pips, based on the height of the chart pattern. As usual, just make sure to practice proper risk management should you find a trade based on this or any of the other charts, alright?
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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.