Chart pattern time! In today’s intraday charts update, I’ve got a fresh channel for NZD/CHF and a rising wedge for NZD/JPY that y’all may like. Get ’em while they’re still fresh, yo!
Is NZD/JPY gearing up for more moves to the downside? Well, as y’all can see on that there chart, a rising wedge pattern has apparently formed. A rising wedge is a bearish pattern, so there’s currently a better-than-average chance that the pair may be moving back down again. A downside breakout needs to clear 75.90, though, so don’t chillax just yet if you do find an opportunity to go short on a breakout.
And while the 200 SMA seems to be acting as dynamic resistance and stochastic is about to reach overbought territory, just know that there’s always a small chance for an upside breakout. So, y’all just be ready to bail or even switch trading bias if the pair smashes past the 77.00 major psychological level, especially if bullish momentum is strong. Know what I’m sayin?
If trading breakouts ain’t your thing, then how about that there ascending channel for NZD/CHF? As y’all can see, the pair has been trading higher recently while trapped in that there ascending channel. And would ya look at that? The pair just recently tested the channel’s support area and appears to be bouncing back up again.
Moreover, the channel’s support area happens to line up nicely with the area of interest at 0.6990. Not only that, stochastic is already pointing back up again after visiting the oversold area. Y’all therefore better get ready to start lookin’ for opportunities to go long.
Just make sure to keep an eye on how the pair reacts to the 0.7050 minor psychological level. After all, that price area appears to be acting as strong resistance, so there’s a chance that the pair may get kicked back down if or when it does get there. And as always, just make sure to practice proper risk management, a’ight?
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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.