Welcome to the last trading day of the week! If you’re looking for your last-minute pips, then y’all better check out these hot forex trade opportunities on NZD/USD and EUR/JPY!
After popping up strongly earlier this week, Kiwi bulls and bears have taken a chill pill, enough to form a potential bullish pennant on NZD/USD’s 1-hour time frame.
If you’ve read the School of Pipsology, then you’ll know that pennants tend to extend its previous trends. Symmetrical triangles, on the other hand, are more neutral and often lead to breakouts in either direction.
What do you think? Are we looking at a pennant over here? Or is this a plain ol’ symmetrical triangle that’s waiting for a breakout?
Either way, triangle breakouts are often as wide as the base of the triangle, so y’all could prep for a move of about 50 pips or so if you’re planning on trading a pattern breakout.
Good luck and good trading, brothas!
Who else traded the SMA crossover that we spotted a couple of days back? If you did, then lemme give you a virtual high five!
Thing is, EUR/JPY is back at the 124.50 levels, which is right around the ascending channel support that hasn’t been broken since the start of the year. Not only that, but stochastic is also chillin’ like a villain in the oversold territory!
Buying at the earliest signs of bullish momentum would give you a good reward-to-risk ratio especially if you aim for this week’s highs near 125.50.
If you’re betting on a downside breakout, however, then you might want to wait for some more candles and a bit more momentum before you place your shorts.
Whichever bias you’re trading today, make sure you keep your risk management skills sharp, aight? Remember that the goal is to trade for another day!