You can’t see it on that there chart, but AUD/CAD has actually been respecting that ascending channel for the most part since May. And since the pair is currently testing the channel’s support area, y’all better start looking for opportunities to go long. And all the more so, since this also appears to be a break-and-retest setup. As y’all can see, price had difficulty pushing past resistance at 0.9960 before finally breaking through. The pair couldn’t stage an upside channel breakout, though. Price therefore pulled back to the 0.9960 level, and said level may act as support.
If you just want to trade within a range, then check out that there rectangle pattern on EUR/AUD’s 1-hour chart. As you can see on the chart above, the pair has been respecting resistance ay 1.4530 and support at 1.4440, giving us a 90-pip trading range to play with. The pair is currently testing the rectangle’s resistance area, so look for opportunities to go short, especially if resistance holds. And it looks like resistance has a better-than-average chance of holding since stochastic is already signalling overbought conditions.
Looking for a breakout play? Then how about that there ascending triangle for AUD/NZD? An ascending triangle is a bullish chart pattern, so our main directional bias is to the upside. And should a breakout occur, then the breakout move could potentially last for around 400 pips, based on the height of the triangle. And y’all better keep an eye on the pair since stochastic is about to reach oversold territory, so bulls may start buying up the pair soon. 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.