Downtrend’s over, boys! GBP/AUD has already made a strong convincing upside break from the falling trend line connecting the pair’s highs on the 1-hour forex chart. This could be a sign that the selloff might be reversed sooner or later. Stochastic is already in the overbought zone though, which means that pound bulls might get exhausted and need a quick pullback to the broken resistance area before heading higher.
If you’re looking to take advantage of the positive carry in a short EUR/NZD position, then this setup is just for you! The pair recently broke below a rectangle pattern visible on its daily forex chart, indicating that the pair is headed further south. The next major support area seen on this time frame is at the 1.5100 mark and, with stochastic still pointing down, there could be a strong chance that EUR/NZD might make it that low!
Last but not least is this long-term AUD/CHF rising wedge setup I showed y’all a few days back. Well, it looks like the pair already made a strong break to the upside! This could mean that a 700-pip rally is in the cards, as the chart formation was around that height. Stay on your toes for a potential pullback to the broken resistance area as stochastic looks ready to cross down from the overbought area anytime soon.
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.