New week, new set of setups! I’m keeping my fingers crossed I can be able to catch good moves with these trend plays. Check ’em out!
I didn’t really have the best of luck with this similar setup on another yen pair, but I have a feeling this one’s gonna be different. AUD/JPY has just bounced off its channel top, 61.8% Fib and area of interest, setting its sights back down on support.
At the same time, stochastic is turning lower after reaching overbought levels, indicating that price could also head south while sellers regain control. In that case, the pair could aim for the 78.00 handle at the channel support next.
That breakout move from the previous week was pretty quick, and I get a chance to hop in! However, GBP/NZD seems to be hitting a ceiling around this 2.0000 level for now and might be due for a pullback while stochastic indicates overbought conditions.
Using the handy-dandy Fib tool on the latest swing low and high shows that the 50% level is right in the middle of the former resistance level and the 1.9600 handle. If this holds as support, the pair could make its way back up to the swing high and beyond.
Note that the triangle pattern spans around 1,200 pips in height, which suggests that this uptrend could be of at least the same size!
Last but certainly not least is this head and shoulders confirmation on the 4-hour time frame of EUR/GBP. Price appears to be in the middle of a pullback to the broken neckline around .8975.
Stochastic is already pointing down to signal bearish pressure, though, so the pair might be ready to tumble below the .8900 mark from here. The chart pattern is around 120 pips tall, so the resulting selloff could be of the same height.
This content is strictly for informational purposes only and does not constitute as investment advice. Trading any financial market involves risk. Please read our Risk Disclosure to make sure you understand the risks involved.