Trend traders huddle up! USD/CHF and NZD/USD are trading at levels you should pay attention to if you’re planning on jumping in on their trends. Check it!
USD/CHF just got rejected at the .9750 minor psychological handle, which isn’t surprising since it lines up with the 200 SMA and channel resistance level that has been solid since the start of the month.
Shorting at current levels would give you a good reward-to-risk ratio especially if you aim for the previous lows near .9650 and place your stops just above the 200 SMA zone.
If countertrend breakouts are more your thing, then you could also wait for USD/CHF to trade above this week’s highs and bet on possible trips to the .9800 – .9900 previous highs.
Whichever direction you’re trading, make sure you stick to your trading plan like white on rice! You never know when the market decides to throw a price spike or two, namsayin’?
Remember that retracement opportunity that we spotted a few days back? Well, here’s another chance to jump in on NZD/USD’s downtrend!
See, NZD/USD is having trouble breaking above the .6450 level that’s right smack at the 100 SMA and a descending trend line that hasn’t been broken since late July.Will NZD/USD extend its downtrend? I’m not seeing any bearish momentum just yet, so y’all might want to wait for a couple of candlesticks before you pull the trigger on your short trades.
If you think that NZD/USD’s downtrend is up and that that the bulls will soon take over, then you could start placing buy orders above the 200 SMA and cross your fingers for a retest of the .6600 and .6700 previous areas of interest.
Good luck and good trading this one, brothas!