Sup, dawg! I’m mixing it up a bit in today’s intraday charts update, with a triangle on GBP/AUD and a Fibonacci retracement play on NZD/JPY. Check ’em out!
GBP/AUD has been trading sideways recently while tapering into a point, giving us that there symmetrical triangle pattern to play with. Huh. It is just me, or have I churning out a bunch of triangle setups lately?
Anyhow, as y’all should know by know, a symmetrical triangle is just as likely to break to the upside as the downside. As such, we don’t really have a strong directional bias on the pair.
Whichever direction the pair opts to move, the resulting rally or selloff will likely have enough steam for a whopping 420-pip move.
Just note, however, that an upside move needs to clear the 1.8000 major psychological level before the breakout is validated and y’all can chillax a bit. A downside move, meanwhile, needs to smash lower past 1.7580, ideally on strong bearish momentum.
No fancy chart patterns here! As y’all can see, NZD/JPY has been on a downtrend but is currently pulling back. Today’s play is therefore a retracement setup.
And using our handy Fibonacci tool, we can see that the pair has already breached the 38.2% retracement level and is making its way higher.
The 50% Fibonacci retracement level looks like a valid pullback area since it sits just below the 77.50 minor psychological level. In addition, stochastic is already signaling overbought conditions and all that.
However, the pullback could go higher to the 61.8% retracement level. And that, too, is a valid pullback area to watch since it’s just below the recent area of interest at 77.70. Moreover, the 100 SMA may act as dynamic resistance if (or when) the pair goes all the way up there.
In any case, just make sure y’all practice proper risk management as always, a’ight? Peace y’all!