Planning on jumping in on this week’s strong moves? Check out these retracement opportunities on EUR/USD and AUD/USD and see if you can make pips from them!
EUR/USD is lollygagging around the 1.1220 levels, which is right smack at the 100 SMA on the daily time frame. What’s more, it also lines up with a trend line resistance that has been limiting the euro’s gains since Q4 2018!
Shorting at current levels would make for a sweet trade especially if you place your stops just above the channel and aim for new 2019 lows for EUR/USD.
If you’d rather buy the common currency, however, then you might want to wait until the pair pops above the 200 SMA and June’s highs before you pull the trigger on any breakout trade.
Good luck and good trading this one!
After falling sharply in the past couple of days, AUD/USD looks ready to take a breather from its losses.
Will it test the .6850 – .6900 previous lows? As you can see, the area lines up with a potential 50% Fibonacci retracement on the daily chart. If the stars line up for the Aussie, AUD/USD could also see a retracement all the way up to the channel and SMA resistance area near .7000.
The pair has yet to bounce or show legit retracement, though, so y’all still have time to draw up your trading plans if you’re planning on jumping in on Aussie’s downtrend.
If you REALLY want to buy the Aussie instead, then you can buy at the earliest signs of bullish momentum and take profits as soon as you see exhaustion from any retracement.
Whichever bias you choose to trade, just make sure you’re practicing good risk management, aight? Don’t let me see you betting the farm on potentially volatile moves!