Markets yesterday were quite interesting and today you can already see some potential setups to trade. Earlier I wrote about Tuesday EUR/JPY position – it could be opened also on Wednesday when the profit-to-risk ratio was 2:1. We are looking further:
A couple came to the strong support that has been repeatedly challenged. Price Action buy signals will allow to open long position. We can see the first signs of rebound – so it is worth to watch carefully.
Another pair with the Australian dollar which is strengthening in the recent period. Price came to the local support formed by candles maximum from February 4 and 5 and candle’s minimum from February 13. In addition, this level is strengthen by 21 EMA. At the H4 chart we can already see stop on the previous candle – it is worth to observe the price behavior and search for buy signals. There’s lot of talking that in nearest future we will see larger upward trend on Aussie – so it is worth to wait.
Yesterday saw a clear weakening of the Canadian dollar. This led currency pair to a strong resistance. A clear PA sell signal after reaching this level will allow us to open shorts – the aim here would be support zone.
Cable approached yesterday the key support. Macro data brought it down firmly, but only after even larger decrease a pin bar on the H4 chart formed – it can be treated as a buy signal. Pound to Dollar is in a dynamic uptrend and this correction may already be sufficient to start the next growth wave.