Who’s up for trading trends?
If you’re working on making trends your friends, then you shouldn’t miss what EUR/JPY and AUD/CHF are throwing at us!
Check out their 4-hour charts:
First up is a nice and simple trend retracement. AUD/CHF is consolidating just above .6450, a level that had served as resistance in January.This time around, .6450 lines up with a trend line support, the 38.2% Fibonacci retracement of late January’s upswing, and the 100 SMA support on the 4-hour time frame.
A long trade at current levels would mark a good trend entry point especially if AUD/CHF returns to last week’s highs near .6550.
Not convinced that AUD/CHF can extend its uptrend? You can also wait for a clear break below the trend line and 100 SMA support zones that we’ve marked.
Whichever bias you end up trading, make sure to practice your best risk management moves so you can trade for another day!
Feel like trading the euro before and after today’s ECB event?Take a look at EUR/JPY, which is chillin’ near a trend line resistance that hasn’t been broken since late October 2022.
What makes the chart interesting today is that price is trading above the 200 SMA, something that hasn’t happened since a bullish fakeout in December.
Can EUR bulls pull a bullish reversal? EUR/JPY will have to break above the trend line resistance and maybe need a bullish SMA crossover to sustain an upside breakout.
If the next trading sessions turn out to be bearish for EUR/JPY, though, then you should also be ready for the pair to dip back down to its 139.50 or 137.50 previous areas of interest.