Welcome to mid-week trading!
Whether you’re trading the majors or staying away from the U.S. dollar, I got yo back with back-to-back range setups on USD/CHF and GBP/NZD.
Which setup will you more likely take?
USD/CHF 4-hour Forex Chart
The dollar has been making pips rain against the franc since mid-August but it wasn’t until September when the 100 SMA crossed above the 200 SMA and USD/CHF started consistently showing higher highs and higher lows.
In fact, USD/CHF is respecting a trend line support that hasn’t been broken since the first half of September!
Can the dollar extend its uptrend?
The odds currently favor the bulls as USD/CHF hangs out at the trend line support, 100 SMA, AND the 50% Fibonacci retracement of the last major upswing.
A long trade at current levels is a good idea if you’re looking to enter USD/CHF’s 4-hour uptrend.
Just make sure to mind the 1.0050 psychological handle! As you can see, the level has served resistance for the pair at least THRICE since mid-May.
GBP/NZD 4-hour Forex Chart
Here’s a weeks-long trend for ya!
GBP/NZD has been seeing higher highs and higher lows since the start of the month.
GBP bulls have a chance to jump in GBP/NZD’s uptrend today while the pair dips back to the ascending channel support and Stochastic is still showing oversold conditions.
The 2.0300 previous highs is a good place to target but you can also exit your trades once GBP/NZD’s upswings lose momentum.
Think GBP/NZD’s uptrend is about to end? You can also plot entry points for a downside breakout below the channel and the 100 SMA support on the chart.
Just make sure that you’re trading a breakout and not a fakeout when the time comes!