Heads up, trend warriors! USD/CHF is currently finding support at the 1.0100 major psychological handle, which happens to line up with a broken channel resistance on the 1-hour time frame. What makes the setup sweeter is that there’s also a bullish divergence on the chart. Buying at current levels is a good play if you think that the dollar will go back to the 1.0200 – 1.0300 levels. But if you’re one of them conservative traders, then you could also wait for a possible dip to the mid-channel line around the 1.0050 MiPs and the 100 and 200 SMA.
Remember that rising channel setup that we spotted a couple of days back? Well, it looks like we’re given another opportunity to jump in! AUD/USD is now back at the ascending channel support near the .7675 levels, which isn’t surprising since it’s also right smack at the 100 and 200 SMAs on the 1-hour time frame. Think the Aussie in for more gains against the dollar? Aussie bulls can take advantage of the support retests and aim for at least the mid-channel level around .7725, while the bears can wait for a downside break before pouncing. In any case, make sure you practice good risk management habits when executing your plans!
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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.