Is this a Guppy pullback I’m seeing? The pair broke below its short-term consolidation and is heading towards an area of interest visible on its 4-hour forex chart. Price could retreat to the 174.00 major psychological mark, which has acted as resistance in the past and is close to the 61.8% Fibonacci retracement level. Stochastic is already indicating oversold conditions so a bounce could take place sooner or later and take the pair back up to its previous highs near the 180.00 handle. Make sure you set your stop below the area of interest if you’re planning to go long!
Check out this neat little range on AUD/JPY’s 1-hour forex time frame! Price has been bouncing between support at the 95.15 area and resistance at 95.85. At the moment, the pair is testing the bottom of the range while stochastic is suggesting a potential bounce back to the top. However, a downside break could still be possible and it could mark the start of a longer-term drop for AUD/JPY. If you’re thinking of going long until the range resistance, you might wanna set your stop loss below those previous spikes near 94.85.
If you’re into trends, then you might like this CAD/JPY short-term pullback setup. The pair has been in selloff mode for quite some time and has recently broken below support near the 98.00 major psychological handle. A forex retracement appears to be in the works, with price pulling up to the 61.8% Fibonacci retracement level. If this area holds as resistance, CAD/JPY could make its way back to its previous lows near the 97.00 mark. A higher retracement might last until the broken support area around 97.80 before CAD/JPY resumes its decline.
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.