Rise and shine, forex brothas! We’re talking trend support levels today by checking out GBP/USD and EUR/AUD’s 4-hour charts!
First up is a nice and simple rising channel from Cable. The pair is lollygagging around the 1.3100 major psychological handle, which is juuust above the 100 and 200 SMAs and the trend line support on the 4-hour chart.
A long trade at the earliest signs of bullish momentum is a good idea especially if you believe that the pound will go back to its September highs near 1.3300.
If you’re one of them pound bears, though, then you might want to wait for a break below the channel before you eye any move to 1.2925 or 1.2850.
EUR/AUD is about to hit the 1.6150 minor psychological handle, which lines up with a trend line support that hasn’t been broken since mid-August.
With the SMAs around the level and stochastic about to hit oversold status, you can bet your pips (with proper risk management, of course) that other bulls are already watching this one.
Will EUR/AUD bulls aim for another retest of the ascending triangle resistance? Or will the bears finally push for a downside break?
Keep close tabs on this one, brothas!