Wassup, fam! I’m kickstarting the new week with a couple of fresh channels on CAD/CHF and USD/JPY. Check ’em out!
CAD/CHF has been trending lower recently while apparently respecting that there descending channel.
And as y’all can see, the pair is currently hesitating at the area of interest at 0.7640, which is just below the channel’s resistance area. Y’all may therefore wanna start lookin’ for opportunities to go short on the pair. And all the more so, given that the 100 SMA seems to be acting as dynamic resistance.
However, just note that stochastic is already signaling oversold conditions and all that, There’s therefore also a chance that the pair may stage a topside channel breakout. So y’all just be ready to bail yo shorts (if you have ’em) or perhaps even switch to a more bullish bias, especially if the pair clears 0.7710 and validates the topside channel breakout.
There’s also a fresh descending channel on USD/JPY’s 1-hour chart. It’s so fresh that the channel ain’t actually formed yet.
And presently, the pair is testing the would be channel’s resistance area, which happens to line up rather nicely with the area of interest at 109.70. And before y’all start lookin’ for opportunities to go short, just know that trading an incomplete chart pattern is extra risky. So only do so if you’re gangsta enough.
If you do find an opportunity to go short, and if the the pair makes its way down, then just make sure to keep an eye on the areas of interest at 109.00 and 108.50 since bulls will likely be entrenched there.
Also, just note that if the pair keeps moving higher, then a move higher past 110.30 would be a sign that bulls are likely in control. And y’all may wanna think about having a more bullish bias on the pair.
At any rate, y’all just remember to practice proper risk management as always, a’ight?