Whattup, forex brothas? Today we’re not only revisiting setups that we’ve identified before, but we’re also identifying new opportunities you definitely won’t want to miss.
Remember that range support that we spotted earlier this week? Well, it worked out pretty well for the bulls!
NZD/USD is now around the .6580 area, which lines up with the mid-range resistance on the 1-hour time frame.
Question is, where will NZD/USD go next? For now, an overbought stochastic signal puts the odds a teeny bit in favor of the bears.
The “safest” way to play this is to wait for momentum. A drop from the mid-range resistance could drag the Kiwi back down to the .6500 major psychological handle, while a continuation of the bullish momentum could drive it back up to the .6675 range resistance.
Watch this one closely and see if you can get a pip or two (or fifty) from retests of previous support and resistance levels!
I know I’m not the only one watching EUR/USD’s downtrend on the daily!
The pair looks ready to retest the falling trend line resistance after a rejection from 1.1300 only dragged it down to the 1.1180 area.
Unless your monitors have smudges, you’ll see that the trend line is also around the 100 and 200 SMAs on the daily time frame.
Can EUR/USD extend its downtrend? Waiting for a retest of the 1.1300 mark before shorting the pair is not a bad idea especially since the euro is poppin’ up some seriously green candles right now.
If you’re more interested in buying the common currency, however, then you might want to wait for a break above the trend line AND the 200 SMA before you pull the trigger on your longs. After all, you’ll still get decent pips especially if you target the 1.1450, 1.1600, and 1.1725 previous highs.