USD/CHF is currently locked in an tight range after getting rejected at the 1.0075 area THRICE. Time for dollar bulls to go big or go home though, because the 100 SMA has caught up to price action while Stochastic has hit the oversold territory. A stop just below the 100 SMA could make for a good trade if you think the pair will continue its uptrend while a stop just above the resistance area could also get you some good pips if you think the tight range would lead to a downside breakout.
Comdoll traders huddle up! USD/CAD has just bounced from a channel resistance and is now headed towards the mid-channel line. Do the bears have enough muscle to push it down to the channel support near the 1.3180 area, or are the bulls ready to step in around the current levels? Trend riders could wait for a touch to the channel support before making any long trades while short-term traders could get a kick out of the pair possibly falling a bit further before going back up.
We’re going back to the basics on this one! EUR/GBP is forming what looks like a morning star on its 4-hour time frame and, if you’ve read the first parts of the School of Pipsology, you’ll know that it usually signals reversal in the charts. What makes this setup sweeter is that the pattern popped up around a previous support area and .7050 minor psychological handle right around the time when a divergence also showed up. Neat, huh? A long trade with a stop below the previous support zone could make for a good reversal trade if you believe the pair is headed back to the 100 SMA levels. Of course, you could also short the pair and bet on a continued downtrend if the pair breaks below the .7050 or .7000 levels.
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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.