Can you believe we’re already trading mid-week prices?
We’ve seen some crazy action on the majors lately so I know you’re looking for new opportunities.
Check out what’s up on GBP/USD and NZD/JPY’s charts!
GBP/USD: 1-hour
Did you know that GBP/USD is about 150 pips down from the week’s open prices?
Ya boy has recovered a bit since then, but it’s also approaching the broken support of a descending channel on the 1-hour time frame.
Will GBP/USD find resistance at the previous support? The 38.2% Fib retracement of the last downswing is not far from the pound’s current prices so y’all better whip up your trading plans fast if you want to trade the opportunity.
A bounce from the channel or the 38.2% Fib could lead to the continuation of Cable’s intraweek downtrend. Not sure about selling GBP/USD? You can also wait for higher pullbacks or some momentum so you have slightly better risk ratios.
NZD/JPY: 4-hour
NZD/JPY popped up interesting wicks on the 4-hour chart!
After dropping faster than Lil Nas X in Montero, NZD/JPY has found support at the 75.50 zone. That lines up with mid-July’s lows AND a broken channel resistance!
Stochastic is also giving us “oversold” vibes so I know at least some bulls are looking at this one.
Kiwi buyers can start loading them long positions at current levels, place stops just below this week’s lows, and then target August’s highs for a good risk ratio.
If you think that NZD/JPY is still on a downtrend, though, then you can also trade rejections at key resistance levels like 76.25 or 76.50 and then aim for new monthly lows.
Good luck and good trading this one!
