First up is a look at a couple of key levels on USD/CHF. It seems as if the .9000 is serving as a strong support-turned-resistance point for the pair. The pair is also having trouble breaking through .8930. If we see some strong green candles close above the .9000 handle, it could be sign this play will head back to test former highs above .9100. On the other hand, a candle close below .8930 could signal that the pair is headed for new lows below .8900.
If you love trading breakouts, then EUR/CHF is one pair you should keep an eye on! After spiking up early last week to test the 1.2300 handle, the pair is once again consolidating into a tight range. We may see a breakout soon, so keep your fingers ready to pull the trigger once you see a strong marubozu candle forming!
Ranging, ranging, ranging! That’s all USD/JPY has been doing lately! Take note though, that while the pair has been finding tough resistance at 76.90, it has recently been marking new highs, as if it’s in the process of forming an ascending triangle. We may see a bounce from the 76.50, and if we see price clearly close above 77.00, it may be time to put on some buy positions!
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. Check him out, playas!