Whattup, forex warriors!
What do you think of these setups?
AUD/JPY is having trouble making new highs above 74.30, which isn’t surprising since the level has served as resistance at least thrice since June 10.What makes the setup more interesting today is that there’s a bearish divergence forming with Stochastic clocking in lower highs.
Think the range resistance will hold for another day?
Shorting at the first signs of bearish pressure would yield a good reward-to-risk ratio especially if AUD/JPY drops back down to its 72.70 range support.
If you’re one of them Aussie bulls, however, then you can also wait for a break above 74.30 and maybe even the 75.00 highs before you aim for areas of interest closer to 75.50 or 76.50.
AUD/CAD: Dailyflag popped up near .9400, which is a big area of interest for AUD/CAD bulls and bears.
Can Aussie bulls extend AUD/CAD’s bullish run?
Buying at a break above the pattern could inspire a move up to the .9550 or .9600 previous areas of interest.
If the consolidation breaks to the downside, however, then we could see AUD/CAD drop back down to the .9200 or .9100 previous resistance levels.
Watch this one closely, yo!