I hope you’re in the mood to trade swing and position trades, because I’ve got setups on GBP/USD and AUD/NZD that you wouldn’t want to miss!
Breakout alert! That long-term uptrend that we spotted earlier this month is in danger of being compromised as the pair has just broken below the channel support.
The pair has turned back around, though, and is now back at the 1.0450 psychological handle after dipping to 1.0375. Are we looking at a fakeout in the larger time frames? Or a break and retest situation that would pull the pair lower?
The odds are in the bears’ favor for now as a bearish divergence popped up while the pair is struggling to bust above the 100 SMA. If the pair turns lower, then we could be looking at a retest of 1.0335 or even the 1.0250 psychological handles.
But if AUD/NZD pops back up, then we might be dealing with a fakeout that would bring the pair back to its longer-term uptrend and maybe a retest of the 1.0725 mid-channel resistance. What do you think?
Here’s an easy peasy one for my dollar trader brothas out there! After bouncing from a sweet retracement play from a couple of days back, GBP/USD is now flirting with the 1.3000 psychological handle.
What’s interesting about the setup is that stochastic is about to hit the overbought territory even as the SMA crossover continues to attract pound bulls.
Think the bulls have enough muscle in their hustle to push for new 2017 highs this week? Or will the bears step in to defend the 1.3000 mark again? Keep close tabs on this one, fellas!