Looks like the descending channel on GBP/AUD’s 1-hour chart, which we found on March 3, is still intact. Not only that, the pair moved lower for over 250 pips before climbing back up for 200 pips, since we last saw it. So if you’ve been actively playing that channel, then congratulations on bagging some decent pips. Aww, yea!
And since the pair is close to the channel’s resistance area again, why not play it again? If life give you lemons, you make some lemonade or something like that, right? Anyhow, y’all better start lookin’ for opportunities to go short. Just note, though, that stochastic is already signaling oversold conditions and all that. Also, the pair seems to be having difficulty moving past the area of interest at 1.6020. There’s therefore currently a higher-than-average chance for an upside breakout. So it would probably be prudent to prepare for an upside breakout scenario as well. Just make sure to keep an eye on how the pair reacts to the area of interest at 1.6330, a’ight?
AUD/CHF’s price action is beginning to taper, as y’all can seen. And in the process, what looks to be a symmetrical-ish triangle pattern has formed. A symmetrical-ish triangle pattern means that bulls and bears are playin’ a game of tug-of-war. However, neither side is really winning. As such, the pair could break in either direction. And should a breakout occur, then the pair may have enough steam for a 160-pip move. An upside breakout needs to clear 0.7760 on good momentum, though. A downside breakout, meanwhile, needs to smash past 0.7630. Otherwise, there’s a chance that the breakout may end up being a fakeout. Anyhow, just remember to practice proper risk management as always.
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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.