Let’s start with a neat ascending triangle setup on NZD/USD. The pair is currently testing the .7250 minor psychological handle, which lines up with the triangle’s resistance on the 1-hour time frame. What makes this setup interesting is that stochastic has just bounced from the overbought territory. Will the Kiwi break above the triangle or will .7250 hold and reject the pair today? Keep close tabs on this one!
Here’s another triangle setup for ya! EUR/GBP is about to reach the end of what looks like an ascending triangle on the 4-hour time frame. Stochastic is currently in the overbought region but the 100 SMA is chillin’ like ice cream fillin’ just below the triangle’s rising trend line. So which way will EUR/GBP go? A break below the triangle could take the pair all the way to the .8400 area while an upside breakout could push it all the way to the .8800 highs back in 2013.
Trend traders huddle up! NZD/JPY is currently testing the 73.00 major psychological handle, which lines up with a mid-channel resistance and is just below the 100 and 200 SMAs on the 4-hour chart. Not only that, but stochastic is also about to hit the overbought levels. Is it time for the Kiwi to lose more pips against the yen? Or will the Kiwi bulls hustle to bring the comdoll all the way to the channel resistance? Read up on trading trends if you haven’t done it yet!
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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.