Yo! I hope y’all are in the mood for even more chart patterns ‘coz I’ve got a channel on EUR/CHF and a rectangle on USD/CHF that y’all may like.
EUR/CHF has been trading higher while bouncing up and down inside that there ascending channel.
And as y’all can see, the pair is currently on its way down towards the channel’s support area, which should be somewhere below the area of interest at 1.1740.
However, the pair is already hesitating at 1.1740. It also looks like the 200 SMA is acting as dynamic support. Moreover, stochastic is moving back up again.
There’s therefore a chance that the pair may move back up again without testing the channel’s support. So y’all better decide quick if y’all wanna jump in with a long or not.
And if you do jump in with a long, just remember that the risk of a downside channel breakout is always there, so just be ready to bail yo longs if the pair continues moving lower and takes out 1.1690, since that would confirm the breakout and signal that bears are in control.
USD/CHF has been trading sideways recently while apparently respecting resistance at 0.9660 and support at 0.9580. And in the process, we got us an 80-pip trading range or rectangle pattern to play with.
The pair is presently about to test the rectangle’s support area at 0.9580. So if any y’all are planning to trade within the range, then heads up and get ready to start lookin’ for opportunities to go long. And all the more so, given that stochastic is already signaling oversold conditions and all that.
And if support at 0.9580 holds, then them bulls will likely be gunning for the rectangle’s resistance area at 0.9660.
Anyhow, just remember to practice proper risk management as always, a’ight?