Whether you like trading short or longer-term time frames, I got yo back with these comdoll cross trades on CAD/JPY and GBP/NZD!
First up is a nice and simple range play on CAD/JPY. The pair just bounced from the 87.75 handle, which is right smack at an area of interest on the 1-hour chart.
The bulls could be eyeing the 88.50 handle, which is near the mid-range resistance as well as the SMAs and a falling trend line retest.
If the pair bounces above the level, then the bulls could gun for the range resistance nearer to 89.25. But if the bears win the tug-o-pips, then we could be looking at a retest of this week’s lows if not a downside breakout.
Keep close tabs on this setup, will ya?
Remember the channel support play that we spotted a couple of days back? Well, it looks like the bulls acted on it! Unfortunately for them, the momentum fizzled out and GBP/NZD went back to its previous lows.
The 1.8000 major psychological handle is the area to watch, as it represents the “neckline” of a possible double bottom on the daily time frame.
A break above the level could take the pair to its previous highs and channel resistance near 1.8850 – 1.9000. Meanwhile, failure to inspire an upside breakout could drag the pair back to its 1.7400 lows near the channel support.
Read up on trading double bottom patterns if this is your first time hearing about it!