We’re taking a closer look at the dollar majors today!
In case you missed it, EUR/USD is near a trend line support while USD/CHF is hanging just below a key resistance zone.
Check out these daily charts!
EUR/USD: Daily
EUR/USD is trading just above the 1.2000 major psychological handle, which is a big enough deal even before I tell ya that the area is right around the 100 SMA, 50% Fib retracement, and a trend line support that hasn’t been broken since mid-2020.
You can start placing small long orders at current levels if you’re confident that the uptrend would hold. You can also wait for a bit of bullish momentum if you’re not too sure about the trend line support holding for another day.Think EUR/USD is due for a downtrend instead? You’ll want to wait for a clear break below the trend line and then see how the pair reacts to the 200 SMA if you’re thinking of shorting the euro against the dollar.
USD/CHF: Daily
This one’s for the range playas in da house!
USD/CHF is fast approaching the .9200 major psychological handle that’s near the daily chart’s 200 SMA and a resistance zone that’s been keeping the bulls from going wild since late July 2020.
Can the bulls get over the .9200 resistance AND Stochastic’s overbought signal?The pair is about 50 pips from the MaPs yet, so you still have time to whip up a trading plan if you’re into this range play.
Shorting at the first signs of rejection at .9200 is your best bet if you think that the Greenback can revisit its .8800 2021 lows against the franc.
If you believe that the bulls will keep the party going above .9200, though, then you’ll want to wait for a clear break before you eye potential profit targets near .9300 and .9450.
