Sup, homie? NZD/CAD sure took its sweet time, that it made me wanna flip out. Know what I’m sayin? Everything’s cool now, though, since the pair did finally begin moving higher since we last saw it on Monday. If any of y’all missed the ride up, well, you can’t get ’em all, so worry not. Also, don’t worry, be happy, ‘coz today’s play is about waiting for the ride down.
In simpler terms that any brother can understand, the pair is making its way higher while gunning for the channel’s resistance area, which is around the area of interest at the 0.9400 psychological level. Y’all therefore better get ready to start lookin’ for opportunities to go short. And all the more so, since our technical indicators be lookin’ fine, given that stochastic is already indicating overbought conditions while the moving averages are still in downtrend mode.
That there descending channel on EUR/USD’s 1-hour chart is guaranteed 100% fresh, dawg. And unlike our setup for NZD/CAD from earlier, the pair has already reached the channel’s resistance area, with the 200 SMA apparently acting as dynamic support and stuff. Y’all therefore better start lookin’ for opportunities to go short. If you’re game for a quick short, howevah, do note that there’s a chance that the pair may go higher to 1.0530, since that’s the closest area of interest, as I highlighted above. Anyhow, just make sure to practice proper risk management, okay, homie?
Okay, last item on today’s intraday charts update is that there descending triangle for NZD/JPY. And that, too, is 100% guaranteed fresh. Anyhow, a descending triangle is, as the name says, a bearish pattern, so we be lookin’ for a downside breakout y’all. And just in case there be a breakout, then the resulting selloff may have steam for a 100-pip move. Of course, there’s always a possibility that the pair may break to the upside instead. Know what I’m sayin? It would therefore be prudent to prepare for such a scenario as well. You feel me?
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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.