First up for today is a solid rising channel on AUD/USD. The pair is hitting a mid-channel resistance near the 1.0400 area, so those who want to go long on this comdoll could wait for the pair to touch the channel bottom near 1.0370 before pulling the trigger. Meanwhile, the Aussie bulls could also short now and get a few quick pips if the pair hits the bulls’ entry target.
They say that all gaps get filled. If that’s the case, then euro traders should definitely watch out for EUR/JPY‘s 124.25 area! The level has served as a strong support zone last week and could easily become a support-turned-resistance area especially if euro traders still aren’t feeling the love for the common currency by the time the pair hits the level.
Since we’re talking about support and resistance levels, we might as well zoom in on NZD/USD‘s 1-hour chart. The .8270 area has been very significant for the pair this month and it looks like the bears would like to keep it that way for now. A short order at the area could give you a good R:R if you place a tight stop above the resistance zone.
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.