Who’s up for buying fiat currencies today?
If you are, then you better not miss EUR/USD’s uptrend and GBP/CAD triangle pattern support retests.
Don’t even think of missing these setups!
GBP/CAD: 4-hour
First up is GBP/CAD consolidating inside a descending triangle on the 4-hour time frame.
See the pair is back to retesting its 1.6100 support after a recent rejection at 1.6300.
Bulls who are confident that the consolidation will lead to GBP/CAD extending the uptrend it started in late September can take advantage of the return to 1.6100 and trade a possible move to the 1.6450 triangle resistance.
If you’re convinced that the triangle consolidation would lead to a bearish reversal, however, then you can also make trading plans around a possible downside breakout.
A break below the 1.6100 opens GBP/CAD to a drop down to the 1.5400 major area of interest.
EUR/USD: Daily
Here’s one for the trend playas out there!
EUR/USD is consolidating near the 1.0700 major psychological handle, which lines up with the 61.8% Fibonacci retracement of this year’s upswing.
More importantly, it’s near an ascending channel support AND a key area of interest back in May and in December.
EUR/USD bulls who are taking cues from Stochastic‘s oversold signal and the bullish SMA crossover on the daily can start scaling in long positions at current levels. The 1.1000 previous high is a good profit target level though you can also aim for new 2023 highs if there’s enough momentum.
Not feeling like buying EUR against USD? You can also wait for a clear break below the channel that we’re watching and then trade a possible drop to the 1.0470 or 1.0320 areas of interest.
