4-Hour Setups on EUR/USD and CAD/JPY - Kakiforex.com - Financial Market Media No. 1 in the World 4-Hour Setups on EUR/USD and CAD/JPY 4-Hour Setups on EUR/USD and CAD/JPY
InstaForex

August 6, 2021

4-Hour Setups on EUR/USD and CAD/JPY

 Feelin’ lucky this last trading day of the week?


Whether you like trading the majors or you’re staying away from the U.S. dollar, I got setups that you wouldn’t want to miss.


Check them out!


EUR/USD: 4-hour


EUR/USD is chillin’ like a Marvel villain around the 1.1825 zone, which not only lines up with a mid-range support but also the 4-hour chart’s 100 SMA and the 61.8 %Fib retracement of late July’s upswing.

Will the bulls attack at EUR/USD’s current levels? Keep an eye out for a few bullish candlesticks, which will make it easier for the euro to hit its 1.1875 previous resistance level.


Of course, dollar bulls and euro bears can always find more friends in the next trading sessions. If you see EUR/USD trading below the 100 SMA, then you can make trading plans to target the 1.1760 July lows.


Good luck and good trading this one!


CAD/JPY: 4-hour

I spy with my eye a triangle pattern in the making!


CAD/JPY has been consolidating in what looks like an ascending triangle after falling from its 91.00 May highs and finding support at the 85.60 April lows.



The pair is now a few pips away from the 88.00 resistance that hasn’t been broken since mid-July. And look, Stochastic is flashing an overbought signal!

A short trade at current levels would make for a good play if you believe that price won’t break its 88.00 resistance anytime soon. You can target the 87.00 psychological level near the trend line support but you can also scale in if you see the Loonie heading for its July lows.


Before you bet the farm on a short CAD/JPY trade, though, you should know that we could always see an upside breakout. Triangles are consolidation patterns that can break in either direction, aren’t they?


If CAD/JPY breaks above 88.00 AND the 200 SMA on the chart, then the pair can make its way to the 89.00 or 89.50 previous inflection points.