Is the U.S. dollar about to make a strong rally now that the government shutdown is over? Here are some pro-dollar setups on the comdolls!
Potential Trade Setups
AUD/USD: Support Turned Resistance
Here’s a potential break and retest scenario for AUD/USD. Thanks to the recent run in risk appetite, AUD/USD was able to climb back to the broken support zone around the .9600 major psychological level. This is somewhere in between the 50% and 61.8% Fibonacci retracement zones, which might act as resistance. See the setup
USD/CAD: Long-Term Trend Line
Looks like the long-term rising trend line on the daily chart of USD/CAD will be holding! Stochastic is moving down from the overbought zone, which suggests that a potential test might be underway. If the pair bounces around the 1.0200 handle again, it could zoom all the way up to the recent highs around 1.0500. See the setup
NZD/USD: Rising Channel
Is the Kiwi in for more gains? It’s moving up towards the top of the rising channel on its daily time frame. From there, the pair could turn and head south towards the .8200 handle in the middle of the channel or the bottom around .8000. Make sure you wait for stochastic to turn from the overbought region before shorting! See the setup
Significant Levels to Watch Out For
|
AUD/USD |
USD/CAD |
NZD/USD |
|
| Week Open (WO) | 0.9425 | 1.0367 | 0.8297 |
| Previous Week High (PWH) | 0.9486 | 1.0420 | 0.8355 |
| Previous Week Low (PWL) | 0.9388 | 1.0287 | 0.8232 |
| Top Weekly ATR (tWATR) | 0.9539 | 1.0432 | 0.8401 |
| Bottom Weekly ATR (bWATR) | 0.9311 | 1.0303 | 0.8193 |
| Other significant levels | 0.9500, 0.9550 | 1.0400, 1.0200 | 0.8200, 0.8450 |
In case you’re wondering what ATRs are all about and how I computed those figures, make sure you check out my entry explaining my trading strategies.
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This content is strictly for informational purposes only and does not constitute as investment advice. Trading any financial market involves risk. Please read our Risk Disclosure to make sure you understand the risks involved.