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Happy Friyay, y’all! Today we’re lookin’ at not one, but TWO swing or long-term setups on the euro. Check out what’s happening on EUR/AUD and EUR/CHF’s charts!

EUR/CHF: 4-hour

EUR/CHF 4-hour Forex Chart
EUR/CHF 4-hour Forex Chart

EUR/CHF is having trouble making new highs above the 1.1050 minor psychological handle, which isn’t surprising since it lines up with a 38.2% Fibonacci retracement on the 4-hour chart.

Think the euro will finally extend its losses against the franc? Or will the bulls push it back up to the 1.1075 area that’s closer to the previous support and the 100 SMA before they let the bears take over?

Shorting at the earliest signs of bearish momentum is a good plan if you’re betting on EUR/CHF making new July lows in the next couple of trading sessions. If you’d rather short at a higher price, though, then the 1.1075 zone is your best bet.

Think EUR/CHF is due for a reversal instead? You might want to wait for a break above the descending channel and the SMAs before you execute your best breakout plays.

EUR/AUD: Daily

EUR/AUD Daily Forex Chart
EUR/AUD Daily Forex Chart

Mid-range bounce alert! EUR/AUD is now around 125 pips away from the 1.5950 mark that sat near the 200 SMA and the mid-range support on the daily chart.

The setup is still interesting not only because the next major resistance is still hundreds of pips away, but also because there’s a low key bullish divergence on the chart.

A long trade at current levels would give you a good reward-to-risk ratio especially if EUR/AUD goes back to its 1.6350 range resistance and you place your stops just below July’s lows.

If you’d rather short the euro, then you could also wait for the current bullish run to lose momentum and see if it stops at a legit inflection point. If you’re comfortable shorting at that price, then you can start aiming for the previous support levels near 1.5950 or even the long-term range support at 1.5350.

Good luck and good trading these setups, brothas!

Forex Chart Settings:

Slow Stochastic: 14,3,3
100 SMA: Blue line
200 SMA: Red line