Welcome to a new set of Chart Art, brothas!
Get ’em while they’re hot!
Breakout alert! AUD/NZD just broke above a descending channel resistance that had held since mid-May.Are we looking at a legit breakout or a fakeout? The 1.0750 is a good initial target if you believe that the momentum won’t die down anytime soon, while the 1.0825 previous highs would work if you’re betting on a reversal for the Aussie.
Feel like AUD/NZD’s downtrend is just taking a breather? You can also wait for bearish candlesticks to pop up and then aim for the broken resistance levels or even the SMAs for shorter-term opportunities.
What’s better than a breakout? A potential breakout that you still have time to prepare for!GBP/CAD is forming what looks like a reverse head and shoulders pattern after falling by 850 pips or so from late May to early June.
The “neckline” isn’t as perfectly horizontal as traders usually see, so you gotta be careful in trading a “breakout” of the pattern.
1.7300 and 1.7800 are levels to watch if you’re trading an upside breakout.
Meanwhile, areas of interest like 1.6750 and 1.6600 are good targets if GBP/CAD fails to break above the neckline and drops back down instead.
Watch this one closely, mmkay?