NZD/CHF has been bouncing up and down while somewhat respecting an ascending channel. And presently, the pair is making its way up. Y’all therefore better start looking for opportunities to go long. The only thing we have to worry about here is that stochastic is already signaling overbought conditions, since that may attract more sellers. If enough sellers start jumping in, they may even trigger a downside channel breakout instead.
As y’all can see on that there chart, EUR/NZD has been trending lower inside a descending channel. The pair is still some distance away from the channel’s resistance area, so more conservative forex traders may wanna wait a little while longer. But for the more gangsta traders out there, do note that there are opportunities for either direction. If you’re moe bearish, then know that the pair seems to be having difficulty moving higher past the mid-channel area. This could mean that the pair may be going back down again. And for the bulls out there, do note that stochastic is indicating oversold conditions already, so buyers may still try to gun for the channel’s resistance area. Anyhow, whichever scenario you choose to play, just make sure to practice proper risk management, okay?
Not interested in channels or chart patterns in general? Then how about that there Fibonacci setup for NZD/CAD? This is actually the updated chart of our setup from last Thursday. Back then, we were playing a trend line break, with the expectation that a further break past support at 0.9680 would drive the pair lower to 0.9580. Well, that scenario is playing out well (for now), but the pair is already beginning to get buyers just above 0.9580. And we get an idea as to why, if we apply our Fibonacci tool. As y’all can see above, price happens to be milling about the 50% retracement level. If price continues to hold here, then support will be confirmed. Perhaps enough buyers may even start jumping in to send the pair higher.
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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.