Yo! I’m serving up a USD + comdoll + chart pattern triple special in today’s intraday charts update, with AUD/USD and USD/CAD on the menu. Get ’em while they’re still fresh!
AUD/USD has been trading somewhat sideways recently, while apparently tapering into a point. And if we connect the most recent peaks and troughs, we can see that a fresh symmetrical triangle has formed for us to play with.
A symmetrical triangle is just as likely to break to the topside as the downside. We therefore don’t really have a strong directional bias on the pair.
However, if the pair does break to the downside, then the pair should ideally break lower past 0.7210 in order to confirm the breakout move. Otherwise, the risk remains high that the breakout may end up being a fakeout.
A topside breakout, meanwhile, needs to clear 0.7380. However, there’s also an area of interest nearby at 0.7440, so y’all may wanna keep a close eye until the pair clears that as well.
There’s a descending channel + Fibonacci retracement combo on USD/CAD’s 1-h0ur chart.
And as y’all can see, the pair currently appears to be bouncing back back after testing the channel’s support area.
And applying our handy Fibonacci tool, we can see that the most likely pullback area is at the 61.8% retracement level since that lines up rather nicely with the 1.3000 major psychological level, which also happens to be the channel’s resistance area.
However, there’s also a risk that the pullback may be shallower, since the 50% retracement level sits just below the area of interest at 1.2980. Also, stochastic is already signaling overbought conditions and all that.
Of course, there’s a risk that the pair may just continue moving higher and stage a topside breakout. If that happens, then a move higher past 1.3050 would validate the breakout move.
However, y’all may wanna wait until the pair also takes out 1.3100 before switching to a more bullish bias.
In any case, y’all just make sure to practice proper risk management as always, a’ight?