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Welcome to another Friyay, yo!

Today we’re lookin’ at not one, but TWO comdoll pairs that are locked in relatively wide consolidations.

Think we’ll see breakouts for AUD/USD and GBP/NZD?

AUD/USD: 1-hour

AUD/USD 1-hour Forex Chart
AUD/USD 1-hour Forex Chart

AUD/USD is a hair’s breadth away from the .7200 major psychological handle that has served as resistance at least twice since late September.

Stochastic is hanging out near the overbought territory, so it’s possible that some bears are already paying attention.

Shorting at a retest of the .7200 MaPs would give you a good risk ratio especially if you place your stops just above the range and aim for the .7100 range support.

Not a fan of shorting the dollar against the Aussie? That’s fine, you can also wait for a clear break above .7200 and then aim for retests of the .7260 or .7325 previous areas of interest instead.

GBP/NZD: 4-hour

GBP/NZD 4-hour Forex Chart
GBP/NZD 4-hour Forex Chart

Here’s another one for all you chart pattern geeks out there! GBP/NZD is consolidating inside what looks like an ascending triangle on the 4-hour time frame.

The pound looks ready to reach the trend line support so y’all might want to prepare your orders if you’re betting on GBP/NZD busting above the pattern and retesting levels like 1.9850 or even 2.0000.

But wait! Remember that not all ascending triangles break to the upside. If the bears get enough support, then we could still see the pound drop below the trend line support and hang around the 100 SMA and the 1.9345 support and resistance level.

Whichever direction you end up trading, make sure to follow your trading plan, and to manage your risks like you don’t know where GBP/NZD will go next!

Forex Chart Settings:

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