Word up, peeps! I’ve got a couple of channel patterns on AUD/CHF and EUR/AUD in today’s intraday charts update that the trend riders out there may like.
As y’all can see, AUD/CHF has been trading ever higher while bouncing up and down inside that there fresh ascending channel. And presently, the pair is grudgingly edging ever lower towards the channel’s support area.
However, bulls appear to have set up shop at the area of interest at 0.7680. Moreover, stochastic is already pointing back up after briefly visiting oversold territory. As such, chances are good that the pair may be moving back up again soon.
Going long when the pair hasn’t tested the channel’s support area is extra risky, though, so only the real gansta traders should even think about jumping in.
For the more conservative traders out there, it’s highly recommended that y’all wait until the pair tests the channel’s support area, which should be just above 0.7610, although there’s also a chance that the pair may test 0.7610 itself.
Anyhow, just remember to practice proper risk management as always. Also, keep in mind that there’s always a possibility for a downside channel breakout. The pair needs to clear 0.7550 before a breakout if confirmed, though.
Okay, gonna level with ya. That there descending channel on EUR/AUD’s 1-hour chart ain’t really fresh since we first played it on July 31.
If y’all can still recall, the pair was hesitating at 1.4750 back then, so we were thinkin’ that there was a good chance that the pair may be moving back down again without testing the channel’s resistance area.
However, I also told y’all that if them bulls are still ready to bust some caps, then they’ll likely be gunning for the channel’s resistance area at or just below the area of interest at 1.4940.
And, well, it looks like them bulls still had some fight in ’em since the pair did move higher and is not hesitating at 1.4940. And if you were gangsta enough to jump in with a long, then congratulations. Aww, yeah!
Anyhow, since the pair is back at the channel’s resistance area at 1.4940 and the channel is still intact, then today’s play might as well be to find opportunities to go short on the pair.
Just make sure to keep an eye on how the pair reacts to 1.4750 if or when it get there. Also, do note that if the pair clears moves higher past 1.5070 on strong bullish momentum, then that would mean that bulls are in total control, so y’all may wanna bail yo shorts or switch to a bullish bias if that happens.