Happy 4th, yo! Let’s get the party started with these hot swing trades on CHF/JPY and EUR/AUD. Which pair do you think will light up your portfolio this week?
CHF/JPY is chillin’ like a villain at the 109.25 area, which is right smack at a mid-channel support on the 4-hour time frame. What’s more, it’s also around the 100 and 200 SMAs on the chart!
A long trade at the earliest signs of bullish momentum could make for a good trade especially if the franc pops back up to its 110.50 previous highs.
If you’d rather short the pair, though, then you could also wait for CHF/JPY to break below its consolidation and aim for a retest of the 108.25 support levels instead.
Good luck and good trading, brothas!
Here’s a simple S&R play for ya! EUR/AUD looks like it’s about to bounce from the 1.6050 handle, which isn’t surprising since the level has been an area of interest for the pair since the start of the year.
What makes the setup more interesting today is that stochastic is also flashing an oversold signal.
Is the euro about to rise against the Aussie? A long trade at current levels would give you a good reward-to-risk ratio especially if you place your stops just below the SMAs on the daily chart.
Not a fan of the euro? That’s fine, too. You could look into trading a possible dive to 1.5750 once the pair convincingly breaks below the 1.6050 mark.