For today’s intraday charts update, I’ve got me sights on the Kiwi, with a channel pattern play on NZD/CHF and a Fibonacci retracement setup on NZD/CAD.
That there is a fresh ascending channel on NZD/CHF’s 1-hour chart. And as I always say, one of the more conservative ways to play an ascending channel is to look for opportunities to go long when the pair is near the channel’s support area.
Unfortunately, the pair is currently at the mid-channel area, so conservative traders may wanna sit this one out for a while.
Y’all may wanna put this pair on yo watchlist, though. After all, the pair appears to be grudgingly moving down to test the channel’s support area, which should be at or just above 0.6950.
And when (or if) the pair does start moving back up again, just make sure to keep an eye on how the pair reacts to 0.7010 since that price area has been serving as resistance lately.
Also note that there’s always a possibility for downside channel breakout. A downside breakout needs to smash past 0.6900 on strong bearish momentum to get validated, though.
If y’all can still recall, we had that there ascending channel for NZD/CAD in last Friday’s intraday charts update. And sadly, that channel got broken when 0.9650 failed to hold as support.
However, the pair has not reached 0.9550, which is a price area with significant market interest. And using our handy Fibonacci tool, we can see that 0.9550 lines up rather nicely with the 50% Fibonacci retracement level.
Moreover, stochastic is already signaling oversold conditions and all that while them moving averages are still in uptrend mode.
There is therefore a higher-than-average chance that support would form here. And if support does form here, then bulls will likely be gunning for 0.9650 next.
Anyhow, just remember to practice proper risk management, a’ight? Peace!