Welcome to a brand spankin’ new trading month, brothas! See if you can bag some pips with these hot trade opportunities on USD/JPY and GBP/CAD!
Breakout alert! GBP/CAD has just broken above a falling channel that hasn’t been invalidated since mid-May.
What makes the setup more interesting is that the pair found support at the 1.6250 area, which marks a significant area of interest on the higher time frames. Go on, check it out!
Stochastic is already in the overbought area, but the 100 SMA has just crossed above the 200 SMA on the chart. If the tides HAVE changed on the pair and it really is on its way up, then we could be looking at a move to the 1.6600 – 1.6700 areas of interest, if not the former resistance nearer to 1.6900.
If you’re not convinced that the pound is about to jump, though, then you could also wait for the pair to break July’s lows before aiming for the next major support area, which is around the 1.5800 psychological handle.
Somebody holler at Huck because this setup is too good to miss! USD/JPY looks like it’s about to test the 110.00 major psychological level, which is right smack at a neat symmetrical triangle on the daily chart.
Stochastic is chillin’ like a villain on the oversold territory, so you can bet your pips (with proper risk management, of course) that the bulls are already on this setup like white on rice.
A bounce from 110.00 could boost the dollar back to the 112.00 area near the 200 SMA or even the triangle resistance nearer to 113.00. Meanwhile, a downside break could drag the pair back to June’s lows near 109.50 or April’s lows near 108.50.
In any case, make sure you stick around when the Greenback either bounces or breaks lower against the yen!