Yo! I hope y’all are lookin’ for more short-term chart pattern setups ‘coz I found a couple more, namely a wedge on AUD/CAD and a channel on USD/JPY.
If you’re a breakout chartist, then feast your eyes on that there rising wedge on AUD/CAD’s 1-hour chart.
Despite the name, a rising wedge is generally considered a bearish pattern. Our main directional bias is therefore to the downside.
And if the pair does break to the downside, then smashing lower past 0.9350 would validate the breakout. However, y’all may wanna wait until the pair also moves lower past 0.9310 before chillaxing.
Do note, however, that even though a rising wedge is considered a bearish pattern, there’s always a small chance that the pair may break to the upside instead.
Y’all may therefore wanna plan ahead for such a scenario, especially if resistance at 0.9400 fails to hold and the pair then clears 0.9430 on strong bullish momentum.
If trading breakouts ain’t your thing, or if you’re more of a trend rider, then check out that there ascending channel on USD/JPY’s 1-hour chart.
As y’all can see, the pair is currently hesitating just above the mid-channel area at 112.40. There’s therefore a good chance that the pair may pull back towards the channel’s support at the 112.00 major psychological level.
However, that also means that there’s a higher-than-average chance for a downside channel breakout. Y’all may therefore wanna wait for certain Japanese candlestick patterns to form or some other form confirmation before lookin’ for opportunities to go long.
Y’all may even also wanna prepare for a downside breakout, just in case. And a move lower past 111.70 would confirm the downside break, although y’all may wanna wait until the pair also smashes lower past 111.30 before switching to a more bearish bias.
Whichever scenario plays out, y’all just make sure to practice proper risk management as always, a’ight?