Are my eyes deceiving me, or is that a double top I see on the 4-hour timeframe of AUD/USD? Well, it would seem that price has already closed below the neckline but with Stochastic already indicating oversold conditions, I wouldn’t be surprised to see a retest of it soon. So, keep close tabs on the 1.0400 handle as it could provide the pair with resistance.
The euro is on a hustle! Missed the rally? Don’t worry. If the currency decides to take a breather in today’s trading, we may get our chance to jump in on a pullback in EUR/USD. I would keep a close eye on the area between the 38.2% and 61.8% Fibonacci retracement levels if I were you. Who knows, we may just see a bounce off 1.2930 (38.2%) or 1.2850 (61.8%) where the pair has previously found resistance.
Here’s another Fib play for all you cool cats! Remember the setup I pointed out on USD/CHF last week? Well, price closed below support around .9400. But the handle coincides nicely with the 38.2% Fib level, suggesting that the pair could find resistance around the area. If you’re looking to sell the pair, be on your toes for reversal candles as they could suggest a drop in USD/CHF!
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.