Who’s up for a dollar trade or two?
I hope you are because USD/CAD and USD/CHF are hanging out near potential retracement levels!
Check out what’s up on their daily charts:
USD/CHF: Daily
USD/CHF’s range resistance was broken last week when the Greenback hit the .9450 zone before USD bulls took a chill pill.
USD/CHF is now trading at the .9340 levels, which is closer to a major inflection point on the daily. What’s more, it’s also near the 38.2% Fibonacci retracement of March’s upswing!
Bulls who believe that the dollar hasn’t seen a top against the franc can buy at current levels and target the .9450 highs if not new monthly highs for USD/CHF.
If you’re not confident about the bulls’ momentum, though, then you can also wait for convincing red candlesticks below .9340 and aim for previous support levels like .9270 or .9160.
Good luck and good trading this one!
USD/CAD: Daily
Here’s one for the trend warriors out there!
USD/CAD hit resistance at 1.2900 earlier this month and the bears have since dragged the pair to the 1.2570 zone.
What’s interesting about today’s levels is that it lines up with a trend line support that hasn’t been broken since mid-2021. Not only that, but it’s also near the dynamic moving averages on the chart!
The cherry on top of the sweet setup is an oversold Stochastic signal.
What do you think? Will USD/CAD extend its uptrend? I’m not seeing green candlesticks just yet, so dollar bulls might have to wait for a bit of momentum before betting on trend continuation.
Meanwhile, dollar bears can start putting orders below the clear trend line support. Consistent trading below the support zone can drag USD/CAD down to the 1.2480 or 1.2300 areas of interest.
