Partner Center Find a Broker

Ready to trade the last trading day of the week? Check out USD/JPY‘s trend retracement and a potential break-and-retest on NZD/CAD‘s chart to see if you can make even more pips today!

USD/JPY: 1-hour

USD/JPY 1-hour Forex Chart
USD/JPY 1-hour Forex Chart

USD/JPY is having trouble breaking above 106.00, which isn’t surprising since the level is near a descending trend line, 200 SMA, and a 61.8% Fib retracement level on the 1-hour time frame.

Shorting at the first signs of bearish pressure would give you a good reward-to-risk ratio especially if USD/JPY drops back down to its 102.00 March lows.

If you’re betting on further dollar strength against the yen, however, then you can also wait until USD/JPY trades comfortably above the trend line that we’re watching.

A long trade at the first signs of a breakout could still give you decent pips especially if you target areas of interest like 107.50 or even 110.00.

NZD/CAD: 4-hour

NZD/CAD 4-hour Forex Chart
NZD/CAD 4-hour Forex Chart

Breakout alert! Not only has NZD/CAD broken above a descending trend line, but it also looks like the bears have dragged the pair back down for a retest!

Are we looking at a break-and-retest opportunity over here? Buying at a bounce from the trend line (and the SMAs!) would yield tons of pips especially if NZD/CAD pops back up to its .8700 highs.

Not convinced that Kiwi is in for a bounce against the Loonie? That’s fine, you can also wait until NZD/CAD drops back below the trend line and trade the downtrend all the way to the .8300 lows.

Whichever bias you end up trading, make sure to follow your trading plan and to manage your risks, mmmkay? You wouldn’t want to lose your shirt over a coupla hundred pips!

Forex Chart Settings:

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