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It’s a new year for our Chinese friends and a new Friday for all of us!

See if you can get lucky with not one, but TWO euro setups.

What do you think of EUR/USD and EUR/AUD‘s charts?

EUR/USD: 4-hour

EUR/USD 4-hour Forex Chart
EUR/USD 4-hour Forex Chart

EUR/USD is consolidating just above the 1.2100 mark, which shouldn’t surprise us since the psychological level lines up with a channel resistance AND the 200 SMA on the 4-hour time frame.

Will the euro extend its (new-ish) downtrend against the dollar?

Selling at the first signs of bearish momentum would give you the best risk ratio especially if you think that the euro’s downtrend will gain momentum in the next few days.

Not convinced that the euro can lose some more pips against the Greenback? Watch out for a break above the 200 SMA, which could allow the euro bulls to push the common currency all the way to the 1.2300 previous highs.

EUR/AUD: 4-hour

EUR/AUD 4-hour Forex Chart
EUR/AUD 4-hour Forex Chart

Range traders gather ’round!

EUR/AUD just bounced from the 1.5625 zone that has been serving as range support since mid-January.

Euro fans who think that the range play is still solid can buy at current levels and aim for the 1.5715 mid-range or 1.5800 range resistance targets.

Meanwhile, euro bears or Aussie bulls can either trade a bearish bounce from the mid-range area or set up a downside breakout play below the range support.

Whichever direction you end up trading, make sure to manage your risks and to follow your trading plan!