We’re having a comdoll party, errbody!
What do you think of these setups?
Let’s start with a textbook range play on AUD/JPY. As you can see, the pair is flirting with the 76.00 major psychological level, which lines up nicely with a range resistance that hasn’t been broken since the start of the month.Oh, and is that Stochastic waving a nice “overbought” flag at us?!
If you’re one of them Aussie fans, though, then you can also wait for a (clear!) breakout above the 76.00 MaPs before targeting previous inflection points near 76.40 and 76.75.
Is trend-trading more your trading style? If it is, then this one’s for you!
NZD/CHF is about 50 pips up after finding support at the .6000 major psychological handle.Thing is, the bulls have taken a chill pill just as the pair hit a 38.2% Fib retracement AND a mid-channel resistance on the 1-hour time frame.
Will the bears pounce at the weakness? Notice that Stochastic is currently on the bears’ side.
If the Kiwi loses pips against the franc, then we could see NZD/CHF drop back to .6000 and even make new lows.
But if the bulls say “hold up, we ain’t done yet!” then NZD/CHF could bust through the Fib levels and reach .6100 before passing the baton to the bears.
Either way, it looks like NZD/CHF likes its trend low and slow these days. Expect some consolidation at key inflection points before we see the pair trade in either direction.