Whattup, forex brothas! Today we’re taking on the European crosses with short and long-term setups on EUR/GBP and GBP/CHF. Get ’em while they’re hot!
GBP/CHF is about to hit the 1.1800 major psychological handle, which has been serving as support AND resistance since early August.
What makes the level interesting today is that 1.1800 currently lines up with the 200 SMA on the 1-hour time frame.
Will pound bears react to the level this week? Shorting at the earliest signs of bearish momentum would get you decent pips especially if the pair drops to its 1.1675 previous lows.
Feel like we’ll see an upside breakout instead? Wait and see how the pair reacts to 1.1800 first before you place your buy orders.
GBP/CHF is still a pip or two away from 1.1800, so y’all still have time to draft your trading plans no matter which side you’re on.
Good luck and good trading!
Here’s one for the longer-term traders out there! As you can see, EUR/GBP is turning lower after finding resistance at the .9300 area.
If you’re looking for a way to buy the euro, then y’all should definitely look at the .9050 zone. Not only did it serve as resistance, but it also lines up with a 61.8% Fib retracement on the daily chart!
If you’d rather short the euro against the pound, or are not feeling like waiting for an actual retest of .9050, then you could also take advantage of the current direction and short EUR/GBP until momentum shows signs of slowing down.
Whichever strategy you use to trade this one, make sure you’re using your best risk management moves when you do execute them trades!