If you’re a trend rider, and you’re looking for a trend to ride, then you may like that there ascending channel for CAD/JPY. Price is currently bouncing up and away after testing the channel’s resistance, as y’all can see. Moreover, the 200 SMA apparently served as dynamic support. Even better, the moving averages are already in uptrend mode, which reinforces the case for further upside moves. The only worrying thing here is that stochastic is already signaling overbought conditions, so there’s a risk that bears may try to send the pair lower, or at least cap its upward push.
If you’re more of a breakout chartist, then how about that there rising wedge on AUD/NZD? A rising wedge is a bearish chart pattern, so our main directional bias is to the downside. However, rising wedges usually form during a downtrend, so this one’s a bit weird, given the recent uptrend. And since the rising wedge formed during an uptrend, there’s also a chance that the pair may break higher instead. In any case, the chart pattern is about 120-pips tall, so a breakout move in either direction could potentially last for the same amount.
If you think it’s too late to hop in on the CAD/JPY setup from earlier, but you’re still in the mood for a trend setup, then you may wanna check out that there descending channel for AUD/CAD. As y’all can see, the pair is currently milling about near the channel’s resistance area, so y’all better start looking for opportunities to go short. Looking at our indicators, the moving averages have recently crossed-over into downtrend mode, which is great. Stochastic is a bit of a party-pooper, though, since it’s already indicating oversold conditions. Anyhow, just make sure to practice proper risk management should you find a trade based on this or any of the other charts, alright?
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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.