NZD/JPY is currently testing the 77.75 levels, which is right smack at a rising trend line retest on the 1-hour chart. What’s more, stochastic is also near the oversold territory. Watch out for the 78.00 psychological handle though, as it’s serving as the ascending triangle resistance for the pair. A long trade at current levels is a good idea if you’re confident that NZD/JPY is headed for new highs. Of course, you could also wait for a break above the resistance if you’re not too sure about buying the comdoll just yet.
Here’s a nice and simple support and resistance play for ya! AUD/JPY is testing the 86.50 handle, which has been serving as an area of interest since Q4 2015. Think the pair is headed for new highs this week? A break above the resistance could take the pair to its November highs, while another rejection at the level could drag it back down to at least the 83.50 area. Watch this one closely, will you?
Trend catchers huddle up! AUD/NZD is lollygagging just below the 1.1100 area, which is just above where a rising trend line and 200 SMA are on the 1-hour time frame. Stochastic is also currently on the bulls’ side after just leaving the oversold territory. A long trade at current levels could get you some pips if you believe that the Aussie is eyeing its previous highs, while a short trade at a break of the trend line could work for the Aussie bears and Kiwi bulls. Just remember to keep your stops wide when trading currency crosses like these!
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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.