First up, here’s what I like to call the J-Lo! I’m talking about the double bottom that’s forming on NZD/USD! The pair is currently treading just below the neckline resistance around .8380. Will the bulls have enough power to break through? Be on the lookout for a solid candle close above .8400 as a sign that this pair is headed back up to the .8500 level.
Next up is my take on the Loonie. USD/CAD appears to be forming a double top on the 4-hour time frame, with the second top forming a three-bar-turn. With Stochastic about to exit overbought territory, this could be an excellent time for the bears to jump in and ride a move down to support around .9950.
Lastly, let’s zoom out a bit and take a look at the daily chart of USD/CHF. The pair has been stuck within a descending channel over the past few months and is currently trading right smack in middle right now. If the trend continues, we could see USD/CHF find resistance at the top of the channel around .9280. For now, all we can do is sit patiently and wait for this setup to develop!
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.