Who’s up for trading major currency pairs? I hope you are, because these forex trade opportunities on EUR/USD and USD/JPY are too good to miss!
EUR/USD: 4-hour
EUR/USD is a couple of pips away from the 1.1400 major psychological handle, which lines up with a falling trend line AND 200 SMA resistance levels on the 4-hour time frame.
Think the euro will extend its downtrend against the dollar? Shorting at the earliest signs of bearish momentum around the MaPs is a good idea if you’re one of them euro bears.
If you think that the dollar’s weakness has only just begun, though, then y’all might want to look at a possible upside breakout on the chart.
A break above 1.1460 could take the pair to its previous areas of interest near 1.1550 or even 1.1700.
Keep close tabs on this one, fellas!
USD/JPY: Daily
I spy with my eye a potential symmetrical triangle in the making! USD/JPY just registered a wicked wick near the 114.00 handle that also lines up with a falling trend line resistance.
Thing is, the pair is also being supported by a rising trend line and the 100 SMA on the daily time frame.
Who will win this tug-o-pips? The School of Pipsology suggests that a breakout could be as strong as the height of the triangle. In this case, we’re talking about a potential 300-pip move.
USD/JPY has yet to break above or below the triangle, so y’all have time to whip up a trading plan for a breakout in either direction.
Whichever bias you choose to trade, make sure your breakout trading strategies and risk management are tight, aight?
Forex Chart Settings:
Slow Stochastic: 14,3,3
100 SMA: Blue line
200 SMA: Red line