Yo, who’s ready to catch some pips?
Today we’re lookin’ at not one, but TWO major comdoll pairs.
Did you know that AUD/USD and USD/CAD are testing key inflection points rn?
USD/CAD: 1-hour
Party time! USD/CAD bulls and bears are getting busy at the 1.2750 minor psychological handle that lines up with a descending channel resistance on the 1-hour time frame.
As you can see, the dollar popped above the resistance for a while but is now back juuust inside the channel.So, did we see a breakout? A fakeout? A stakeout? Cookout?
We will soon find out!
Bears who are paying attention to the bearish divergence can load up as soon as USD/CAD starts getting bearish momentum below the 1.2730 inflection point.
But if you believe that it’s time for USD/CAD to change its longer-term direction, then you can also wait for a clear break above the trend line resistance (which hasn’t been broken since January 11) and then try to aim for January’s or even mid-December’s highs.
AUD/USD: 4-hour
What’s better than a triangle support play? Bell-bottom pants going mainstream again, of course!
Oh, and AUD/USD’s triangle support lining up with the 200 SMA on the 4-hour time frame. You gotta admit, it’s not as feel-good news as the Bell Bottom bit but it’s definitely a positive sign for Aussie bulls.Buying at current levels or the first signs of bullish momentum means that you’re getting a good risk ratio in case AUD/USD pops above its ascending triangle consolidation and extends its uptrend.
But what if AUD/USD trades below the triangle? If the Aussie drops (and stays) below the triangle and 200 SMA support area, then you should consider the possibility of a reversal that could drag AUD/USD to the .7570 or .7500 previous areas of interest.
