Whattup, forex brothas! Start getting them pips this week with short and long-term trend retracements on GBP/JPY and AUD/USD. Get ’em while they’re hot!
Guppy is trading just below 145.00, which is about 300 pips below last week’s highs. Wowza!
What makes the downswing interesting today is that it might find support between the 143.00 – 144.00 levels. As you can see, the area lines up with a rising trend line support, the 200 SMA, and a previous resistance level.
The downward momentum has yet to see signs of exhaustion, so y’all still have time to design trading plans around a possible trend retracement play.
Buying at the earliest signs of bullish momentum could also work if GBP/JPY doesn’t go back down to the trend line zone.
Think GBP/JPY’s downswing will lead to a longer-term reversal instead? You can wait until the pair breaks below the trend line or the 100 SMA crosses below the 200 SMA before you start to place positions on a short.
Good luck and good trading, yo!
Remember the daily uptrend that we looked at a few days back? Well, it looks like it’s do or die for the bears!
AUD/USD is chillin’ like a villain around .6850, which is near the daily 200 SMA and a falling trend line that hasn’t been broken since the start of the year.
Can the bears defend the trend line for another day today? Shorting at current levels would provide a good reward-to-risk ratio especially if AUD/USD drops back to its .6675 lows.
If you’d rather trade an upside breakout, however, then you can also wait until AUD/USD breaks above last week’s highs or even retests the broken trend line before you execute them long positions.
Whichever bias you’re trading this week, make sure you’re sharpening your risk management skills by minimizing your risks and maximizing your profits!