Whether you like day trading or you’re more into swing trade setups, I got yo back with these hot forex opportunities on USD/CAD and EUR/AUD’s charts. Check them out!
USD/CAD is fast approaching the 1.3265 area, which is right around a descending channel resistance AND a 200 SMA retest on the 1-hour time frame.
Will the bears make pips rain around the level? Shorting at the first signs of bearishness around the area would make for a good reward-to-risk ratio especially if you place your stops just above the 200 SMA and aim for previous lows closer to 1.3200.
Not a fan of shorting the dollar against the Loonie? That’s aight, you can also wait for a (clear!) break above the channel that we’re watching and wait for an upside breakout that would take the pair to its 1.3325 previous highs.
Good luck and good trading this one, brothas!
If dollar trading is not your thing, then you might want to check out EUR/AUD’s potential resistance at 1.6300.
As you can see, the level has been serving as support and resistance (more resistance than support) since late October.
It also doesn’t hurt that stochastic is about to hit the overbought territory on the 4-hour time frame.
A bounce from the area could lead to a retest of the 1.6100 lows. On the other hand, a break above 1.6300 could push the euro all the way to EUR/AUD’s 1.6420 or even the 1.6580 previous resistance levels.
What do you think? Which way will EUR/AUD go?
Forex Chart Settings:
Slow Stochastic: 14,3,3
100 SMA: Blue line
200 SMA: Red line
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