I’m ending this week’s intraday charts update with a couple of short-term triangles on AUD/CHF and AUD/NZD that the breakout chartists out there may like.
AUD/CHF has been trading kinda sideways recently. And if we connect the most recent peaks and the most recent troughs, then we get that there symmetrical triangle to play with.
Well, it ain’t exactly, perfectly symmetrical, so “symmetrical-ish” is probably more accurate.
Anyhow, a symmetrical-ish triangle could break out either to the topside or the downside, so we shouldn’t have any directional bias on the pair. And the savvy breakout chartists out there may even wanna prepare for both scenarios.
Just keep in mind that an upside breakout needs to clear 0.7720 before the breakout is confirmed. Otherwise, the chance for a fakeout remains high. A downside breakout, meanwhile, needs to smash past both 0.7750 and 0.7480 before the break is confirmed.
We’ve also got a triangle on AUD/NZD’s 1-hour chart. This time, it’s an ascending triangle, so our main directional bias is to the upside. And all the more so, given that them moving averages have been signaling a healthy uptrend for a while now.
And if the pair finally does move higher and take out resistance at 1.1140, then the resulting rally will probably have enough momentum for a 150-pip move.
As usual, however, a downside breakout is always possible, although highly unlikely at this point. But just in case a downside break happens, then y’all may wanna think about bailing yo shorts or even switching to a bearish bias if the pair breaks past 1.1010.
In any case and also as usual, just make sure to practice proper risk management should you find a trade based on this or any of the other charts, a’ight? Peace! See y’all next week!