Up and at ’em, technical traders! Let’s get your day started with these hot setups on EUR/USD and AUD/JPY. Get ’em while they’re hot!
Remember that channel support that we spotted a couple of days back? Well, it looks like the bulls have done their part!
EUR/USD is now a few pips away from the 1.1500 major psychological level, which had served as a strong resistance for EUR/USD a few times in the past couple of months.
With stochastic chillin’ like a villain in overbought territory, you can bet that other bears are already waiting for a resistance bounce that could take the euro back down to the 1.1400 or even the 1.1300 previous support areas.
Of course, the pair could also see an upside breakout. If the bulls manage to stay in control and break above the 1.1500 mark, then we could see a retest of the 1.1530 and 1.1580 resistance levels.
Retracement alert! AUD/JPY is fast approaching the 79.00 major psychological handle, which is right smack at a 61.8% Fibonacci retracement and a previous range support on the daily time frame.The pair is still a few hundred pips away from the level, though, so y’all have time to whip up your trading plans before you trade this one.
Will the Aussie encounter resistance at the previous support? Or will the bulls maintain their momentum until AUD/JPY retests 81.50 near the 100 and 200 SMAs or even the 84.00 range resistance?
Shorting at the earliest signs of bearish momentum could get you a good reward-to-risk ratio especially if the pair drops back down to its 2019 lows near 70.60.
Just make sure to use wide stops when you execute, will ya? After all, currency crosses like these can see volatility like nobody’s business!