I’m mixing it up in today’s intraday charts update, with a retracement play for GBP/NZD and a channel setup on AUD/JPY. Get ’em while they’re still fresh!
As y’all can see, GBP/NZD surged higher until it encountered resistance at 1.9840. The pair was pushed back all the way back to 1.9460 before showing sings of finding support.
And if we apply our handy Fibonacci tool, we can see that 1.9460 sits right smack on the 50% retracement level, which is likely why the pair’s slide got halted for now.
Also, them moving averages are still in uptrend mode. And it even looks like the 200 SMA is acting as dynamic support. There’s therefore a good chance that support really has formed and that the pair is on its way back up again.
An upswing has a lot of potential barriers to clear, though. As marked on the chart, bears will likely be waiting at the areas of interest at 1.9550. 1.9690, and 1.9840. Y’all may therefore wanna keep a close eye whenever the pair approaches any of those price levels.
And in the unlikely case that 1.9460 fails to hold as support. Then it’s likely game over for the bulls if 1.9300 gets taken out. So if the pair goes below that, then y’all may wanna bail yo longs (if you still have ’em) or even switch to a bearish bias on the pair.
AUD/JPY has been trading ever higher recently. And if we connect the troughs and peaks, we can see that the pair has been trending higher while trapped inside an ascending channel.
The pair appears to be gearing up for an upswing after hitting the area of interest at 85.70. However, stochastic hasn’t reached oversold territory yet. Also, the channel’s support area, which is just below 85.70, hasn’t been tested yet. There’s therefore a chance that the pair may dip a bit before swinging higher.
In either case, just make sure to observe how the pair reacts to the 86.00 major psychological level since bears will likely be waiting to ambush the bulls there.
And as always, there’s a small chance that the channel may fail. So if the pair stages a downside breakout and smashes lower past 85.40, then that may be a sign to bail yo longs on the pair.
Anyhow, just make sure to practice proper risk management as always, a’ight?