Word up, fam! We’ll be taking a stroll down memory lane in today’s intraday charts update ‘coz we’ll be checking up on our old setups on EUR/CHF and EUR/AUD. Of course, we’d be lookin’ for fresh setups as well.
Well, check that out, dawg! That’s right! The 1.600 level did hold as resistance and the pair moved lower for over 100 pips. So congratulations if any y’all were gangsta enough to ride that downswing. Aww, yeah!
Anyhow, the pair is currently pulling back so we’re waiting for another opportunity to go short again. And we’ve got our sights on the channel’s resistance area, which should be somewhere around the area of interest at 1.1560.
As always, just know that there’s a risk for an upside channel break. And if that happens, then y’all may wanna bail yo shorts, especially if the pair clears 1.6000 on strong bullish momentum.
Also, do note that the pair is already hesitating at the area of interest at 1.1530, which also happens to be the mid-channel area. There’s therefore also a chance that the pair may move back down without testing the channel’s resistance.
Looking for opportunities at the mid-channel area is extra risky, though, so only do so if you think you’re gangsta enough.
And it took a while, but the pair finally chose to break to the downside. Heck, the pair even cleared the key areas of interest at 1.5710 and 1.5660 that I told y’all to keep an eye on. And if you were able to ride that downside breakout move, then give yo self a pat on the back. Aww, yeah!
Anyhow, the pair did find support at 1.5580 and is currently back, which means that today’s play is therefore a Fibonacci retracement setup.
And if we use our handy Fibonacci tool, it looks like the 38.2% and 61.8% retracement levels are the pullback areas to watch since they line up rather nicely with the broken support areas at 1.5710 and 1.5660 respectively.
Just be ready to bail yo shorts if the pair continues moving higher past 1.15710, though, since that’s a sign that bulls are trying to take over and invalidate the downside breakout move.
At any rate, y’all just make sure to practice proper risk management as always, a’ight?