Looking for a chance to catch a bounce on these pairs?
Or hoping to catch a wave lower?
Either way, better keep your eyes on these nearby support zones on EUR/GBP and CAD/CHF!
This pair is still cruising inside its rising channel on the 4-hour time frame, and it looks like the uptrend is about to resume.Or is it?
EUR/GBP just bounced off its 61.8% Fib and might be setting its sights back up on the nearby resistance levels. If the pair makes it past the mid-channel area of interest, this could clear the way for a move back to the channel top at the .8600 handle.
If the middle of the channel still holds as a ceiling, though, price could go for another dip to the channel bottom near the .8400 major psychological support.
Technical indicators are pointing to a continuation of the climb, as the 100 SMA is above the 200 SMA while Stochastic has room to climb before reflecting exhaustion among buyers.
Loonie bulls, look out!
CAD/CHF just made a fresh breakdown from its short-term ascending trend line, indicating that a selloff is underway.The pair is still hovering above the 100 SMA dynamic support, but a break below this area could set off a drop to the next downside targets. The 200 SMA dynamic inflection point around the .7600 handle might be able to keep losses in check, just above the longer-term rising trend line support.
Stochastic is on the move down to confirm that bearish pressure is in play, so Loonie sellers could dominate the game until oversold conditions are met.
However, the 100 SMA is above the 200 SMA to suggest that support levels are likely to hold. The gap between the moving averages is also widening to reflect strengthening bullish momentum.