Is it time to hop on the short euro bandwagon? After all, EUR/USD is currently testing major resistance at the 1.3400 handle! Meanwhile, Stochastic has also crept out of overbought territory, indicating that selling pressure may return. Look out though for a solid candle close above 1.3400, as this could indicate a strong move up to higher highs at 1.3700.
Looking to short the Greenback? Hop on over to NZD/USD and check out that rising trend line! It looks like NZD/USD may try to make another run at the trend line, so your best bet may be to wait for a retest and see what type of candlesticks former. If we see some indecision candles form, this could be a sign that the trend line is holding and its time to load up on some buy positions.
Last up is this trend line on USD/CHF that I’ve pointed out a couple of times now. Price action is currently chillin’ just above the trend line, but with bullish divergence forming over the past couple of weeks, this could be the omen the bulls need to add more long orders. If you prefer to wait for a more solid signal, you might wanna wait for a bullish marubozu candle to form before buying!
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.