Welcome to mid-week trading, my dudes!
Get ’em while they’re hot!
First up is a nice and simple support play on NZD/JPY.
As you can see, Kiwi is heading fast towards the 68.25 handle that has served as support at least twice since mid-June.Will 68.25 hold as support for another day? NZD/JPY is still a few pips away from the level so y’all have time to design trading plans around a retest of the level.
If you’re one of them Kiwi bears, however, then you can wait for a clear break below the support and then target areas of interest near 67.00 – 67.50.
Make sure you know all about NZD/JPY’s average daily volatility before you place them orders, aight?
Here’s one for the trend-following playas out there!
EUR/JPY is having trouble making highs above the 200 SMA, which isn’t surprising since it’s also near a descending channel resistance on the 1-hour chart.Think EUR/JPY is about to extend its downtrend? If this downswing is as strong as the upswing after the 100 SMA last crossed the 200 SMA, then the euro could still see some serious losses.
EUR/JPY’s current levels are your best bet at a short entry if you believe that the pair would stick to its descending channel and make new June lows.
Planning on buying the common currency instead? You might want to wait until the 100 SMA crosses above the 200 SMA or until price (convincingly) breaks above the 200 SMA and the channel resistance before you bet on an upside breakout.
Good luck trading this setup and don’t forget to use your best risk management moves when executing them plans!