Dollar traders huddle up! Whether you like trading short or longer time frames, I got yo back with a trend play on USD/JPY and a potential triangle on GBP/USD. Check it!
First up is a nice and simple support play on USD/JPY. The pair is having trouble breaking below the 106.75 mark, which isn’t surprising since it’s right smack at a channel support retest. What’s more, it’s also near the 200 SMA AND an area of interest on the 1-hour chart.
Buying at current levels could get you a sweet reward-to-risk ratio especially if you place your stops just below the channel and aim for new highs above 107.50.
If you’re no fan of the Greenback, though, then you could also wait for a break below the support area that we’ve marked. Or you could trade our next setup…
I spy with my cool, blue eyes a possible triangle breakout in the making! Cable looks like it’s headed for the 1.4225 mark, which has been keeping the bulls in line since early February.
Will third time be the charm for the pound? An upside breakout could take the pair all the way to the next area of interest near 1.4700. On the other hand, a downside break could drag the pair back to the 1.3450 – 1.3500 levels.
Whichever bias you choose to trade, make sure you have trading plans (and you stick to them!) when executing your trades!