Missed the boat shorting EUR/USD earlier this week? Well, here’s another chance for ya! The pair is having trouble breaking above the 1.0600 major psychological handle, which isn’t surprising since the level lines up nicely with not only a falling channel resistance, but also the 100 and 200 SMA on the 1-hour time frame. Shorting around the area of interest is a good idea especially if you’re one of them dollar bulls. Don’t use tight stop losses though! Remember major dollar pairs like Fiber tend to get lots of volatility even as they follow a trend.
Lookie here – it’s a back-to-back trend play! AUD/CAD looks like it’s about to hit the 1.0075 – 1.0100 zone, which is right smack at a rising channel support. Oh, and look at the 100 and 200 SMA chillin’ like villains around the area! The cherry on top of this potentially bullish sundae is an almost oversold stochastic signal. Think the Aussie is in for more gains against the Loonie? Read up on trading currency crosses 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.