Intraday Forex Charts Update – Oct. 17, 2016

AUD/NZD: 1-Hour

AUD/NZD 1-Hour Forex Chart

AUD/NZD 1-Hour Forex Chart

AUD/NZD has been trending higher since mid-September, but it’s now hitting the Summer time highs around 1.0700 – 1.0750.  Is the run higher done? It could be with a simple divergence signal (high price highs vs. lower indicator highs) on the one hour chart pointing to the bulls running out of steam.  We may not see confirmation until the recent area of interest around 1.0650 is broken to the downside, and if it does, this could easily go from a short-term setup to a longer-term with a nice risk-to-reward ratio!

USD/CHF: 1-Hour

USD/CHF 1-Hour Forex Chart

USD/CHF 1-Hour Forex Chart

USD/CHF has also been on a tear higher since the beginning of October, breaking August and September highs. But now we’re seeing a bit of consolidation as the bulls are having a heck of a time trying to break above the .9900. A break above there doesn’t really provide with the greatest R:R opportunity unless there’s a huge catalyst, so it may be wise for a pull back to the 200 MA before taking a short-term long position.

CAD/JPY: 1-Hour

CAD/JPY 1-Hour Forex Chart

CAD/JPY 1-Hour Forex Chart

We’ve got a text book long setup with multiple technical arguments to buy on CAD/JPY. The pair recently broke strong resistance just under the 79.00 handle and is now consolidating, waiting for the next move.  If you overlay the Fibonacci tool, you can see that the classic retracement levels do line up with the moving averages, so that area between 78.50 – 79.00 is definitely one to watch for all of you bulls on this pair. A more aggressive play would be to long on an upside breakout, but keep in mind that longer-term, this pair is in a downtrend.

Forex Chart Settings:

Slow Stochastic: 14, 3, 3
100 SMAs: Blue line
200 SMA: Red line

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.