After a spectacular dive, the bulls and the bears began fighting it out on USD/JPY’s 1-hour forex chart, but neither side is ultimately winning since a symmetrical-ish triangle has now clearly formed. Since this is a symmetrical-ish triangle, then that means that either side could win, so we don’t really have a directional bias. The moving averages aren’t providing a clear trend either since they’re oscillating, but past price action shows that the overall trend is still down. As for stochastic, it’s currently pointing up and moving away from the oversold region, so perhaps forex traders bullish on the pair are gearing up for an offensive. In any case, if the forex chart pattern does break, then we could probably expect price to move by as much as 340 pips since that is roughly the pattern’s height.
This here is a rather funky chart since a head and shoulders pattern has formed on one hand, but we also have a possible retracement setup on the other hand. Let’s go with the retracement scenario first. As y’all can see, price just bounced off the 38.2% Fibonacci retracement setup and moving higher. Looking at our technical indicators, they seem to support further moves to the upside since the moving averages have already crossed-over into uptrend mode while stochastic is already pointing up. As for the head and shoulders pattern scenario, well, there aren’t really any technical arguments in support of it, but it it continues futher, then price still has room to move for around 150 since that is the height from the pattern’s “head” until it’s neckline.
After a spectacular dive, the bulls and the bears began fighting it out on CAD/JPY’s 1-hour forex chart, but neither side is ultimately winning since a symmetrical-ish triangle has now clearly formed. What was that? I already used that line? Ooops, sorry about that! My bad! Anyhow, CAD/JPY and USD/JPY have uncannily similar forex price action on their respective 1-hour forex charts. The moving averages are even oscillating in a similar manner, and stochastic is likewise currently pointing up and moving away from the oversold area. The volatility of CAD/JPY’s triangle also about 360 pips, which is very close to that of USD/JPY’s triangle. Weird, huh? As usual, make sure to practice proper risk management should you find a trade based on this or any of the other charts.
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To get the complete picture and avoid getting blindsided by economic data, you also have to do your fundamental analysis. Lucky for us, Pip Diddy fills us in on what we need to know about fundamentals with his Daily Forex Fundamentals.AUD/CAD 1-hour Forex Chart