Looks like EUR/USD’s rising channel is still intact, brothas! If you think that the euro has room to pop up, then you could wait for a retest of the channel support around the 1.3550 area. On the other hand, you could also wait for the pair to reach its mid-channel resistance before shorting this baby if you’re one of them euro bears.
Here’s a nice and simple one on AUD/USD! The pair is testing the rising trend line that has been valid since the start of October. Not only that, but it’s also hitting the 100 SMA right around the time when Stochastic is in the oversold area! A stop just below the trend line could get you a sweet risk ratio if you think that the Aussie is headed for new intraweek highs.
Last up for today is a possible double bottom play. GBP/AUD is finding resistance at the 1.7100 zone, which lines up with the neckline of the double bottom. What makes this setup beautiful is that it could turn into a range trade if it flips from the resistance. After all, stochastic is deep in the overbought territory. What do you think?
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.