Yo! I’m starting this week’s intraday charts update, with a triangle on AUD/USD and a channel on USD/JPY, which means I’m serving up a Greenback + chart patterns double special.
AUD/USD’s has been trading sideways recently. But if we connect the most recent peaks and troughs, we can see that a fresh symmetrical triangle has apparently formed.
The pair is just as likely to stage an upside breakout from a symmetrical triangle as a downside breakout. As such, we don’t really have a strong directional bias on the pair. In fact, it would even be prudent to prepare for both scenarios.
Whichever scenario plays out, it’s likely that the resulting breakout move will have enough steam for a 160-pip.
With that said, just note that a topside breakout needs to clear 0.7480, ideally on strong bullish momentum. A downside breakout, meanwhile, needs to move lower past 0.7320.
A fresh ascending channel has recently formed on USD/JPY’s 1-hour chart. And as y’all can see, the pair appears to be bouncing off the channel’s support at 111.20.
Y’all may therefore wanna start lookin’ for opportunities to go long, especially since them moving averages are still in uptrend mode.
However, also note that stochastic is already signaling overbought conditions and all that. There’s therefore also a chance for a downside channel breakout. So just be ready to bail yo longs if the pair moves lower past 110.70 on strong bearish momentum.
In any case, y’all just make sure to practice proper risk management as always, a’ight?