EUR/USD is about to hit the 1.1300 area, which is right smack at a 38.2% Fib on the 1-hour time frame. What makes this setup more interesting is that the level also lines up with a broken trend line and a 100 SMA resistance. Think the euro is about to weaken against the Greenback? A short trade at current levels could make for a good trade if you believe that the pair will go back to its previous lows. Of course, you could also wait for an upside breakout if you’re one of them euro bulls.
Breakout alert! USD/CHF is lollygagging just above the .9650 mark, which isn’t surprising since the level has been an area of interest since mid-March. Right now it’s forming a rectangle on the 1-hour time frame. If you’ve read the School of Pipsology, then you’ll know that we could be looking at a possible breakout. In which direction will the pair break? Keep close tabs on this one, fellas!
I spy with my Ray-B-covered eyes a tug-o-pip in the making! GBP/AUD is having trouble finding direction at the 1.8550 area, which is near a falling trend line and 100 SMA resistance on the 1-hour chart. Oh, and there’s a bearish divergence, too! Will the bears succeed in defending the resistance area? Or will the bulls break through the barriers and push the pair to its previous highs? Whip out your trading plans and start strategizing on this one!
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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.