Looking to go with the flow and catch ongoing trends?
I’ve got a couple of setups you might wanna look at before the trading week ends.
Check out these pullback levels on GBP/CAD and NZD/CHF!
This pair is bouncing off its descending channel support and is in the middle of a correction, fellas!
How high can it go before sellers return?
GBP/CAD is already testing the 38.2% Fibonacci retracement level but might still be able to pull up to the mid-channel area of interest near the 50% Fib.
An even larger retracement could reach the 61.8% level close to the 1.6000 major psychological mark or the channel resistance around 1.6100.
In any case, technical indicators are pointing to a continuation of the downtrend. The 100 SMA is below the 200 SMA to reflect bearish pressure, and these indicators might hold as dynamic resistance levels, too.
Stochastic is closing in on the overbought region to signal that buyers might be feeling exhausted soon. Once the oscillator turns lower, GBP/CAD could follow suit and head back down to the swing low near 1.5700.
This one’s already sitting right at the very bottom of its ascending channel. Blink and you might miss a potential bounce or break!
Technical indicators are hinting that the uptrend is more likely to resume than to reverse. Stochastic is already hanging out at the oversold region and looks ready to head back up.
At the same time, 100 SMA is above the 200 SMA, suggesting that the path of least resistance is to the upside.
If that’s the case, NZD/CHF could make its way back up to the top of the channel near the .6350 minor psychological mark or at least until the middle at .6300.
Just make sure you set those stop losses properly when you’re trading this one!