We’re loading up on Aussie opportunities today, yo!
Check these charts out!
Trend warriors gather ’round! GBP/AUD just got rejected at the 1.7900 major psychological handle that lines up with a descending channel resistance on the 1-hour time frame.What makes the setup more interesting today is that there’s also a potential bearish divergence on the chart.
If the last red candles are giving you “sell like there’s no tomorrow!” vibes, then you can short at current levels and place your stops just above today’s highs for the best risk ratio.
The 1.7830 mid-channel and 1.7750 previous support levels would make for good profit targets if you don’t plan to hold your shorts for long.
Meanwhile, pound bulls can wait for a clear break above the 1.7900 MaPs and then shoot for the big 1.8000 in case of an upside breakout.
What’s better than dojis poppin’ up around key inflection points?
Candlesticks hinting that a bounce would have momentum, of course!
That’s exactly what’s happening on AUD/NZD as today’s red candle drops below the consolidation that happened in the last two weeks.It also doesn’t hurt that Stochastic is chillin’ like ice cream fillin’ in the overbought territory.
Shorting at current prices would still yield a good risk ratio especially if AUD/NZD drops back to the 1.0670 and 1.0570 previous support and resistance levels.
Feel like the Aussie will soon go back to its upswing against the Kiwi?
You’ll want to wait until AUD/NZD pops and stays above the 1.0800 resistance before you can target inflection points like 1.0900 and 1.1000.