Feeling salty about your crypto portfolio?
Try your risk management moves on these forex setups instead!
The dollar is poppin’ up interesting dojis just under the .9050 minor psychological handle!
As you can see, the area lines up with not only the 61.8% Fib retracement of the last downswing, but also a channel resistance that hasn’t been broken since late April.
Can dollar bears maintain their momentum this week? Shorting at current levels would yield a good risk ratio if USD/CHF falls back down to its May lows.
If the bulls win this round of tug-o-pips, though, then you might want to anticipate a trip to the 4-hour 100 SMA and the .9140 key inflection point.
Not a fan of dollar pairs? No worries, I gotchu!
NZD/JPY bounced from the 78.00 psychological area that lines up with the 200 SMA on the 4-hour time frame.
While it’s just below a key channel support, the bullish divergence on the chart tells us that it’s still possible to see NZD/JPY extend its uptrend in the next coupla days.
Buying at current levels or as soon as NZD/JPY pops above its trend line support would make a good entry point for when the Kiwi makes new May highs against the yen.
If the bounce from the 200 SMA turns out to be a dead cat bounce, though, then you can prepare for a longer-term reversal that would take NZD/JPY back down to areas of interest like 77.50.