A few more potential setups

December 15, 2009 21:59 by Jon

Just wanted to quickly note a few more potential setups this week before calling it a night...

AUD/USD

After a prolonged uptrend, AUD/USD has been consolidating as of late on the daily chart, forming a nice symmetrical triangle. Today, the pair broke down through the bottom line of the triangle, offering us a potential short opportunity.  Time will tell us whether this is actually the beginning of a significant move down.

 

EUR/GBP

Today's action saw the EUR/GBP test a rising trendline serving as support.  This could be a good opportunity, depending on how the next few days unfold.  If the pair respects the trendline, it could be a good long opportunity, especially considering that the general trend since the beginning of August has been up.  On the other hand, if the pair breaks down through the trendline, it might be a good short opportunity (after all, we did have a lower high to start off the month of December).  For now, I'm sitting on the sidelines waiting for this pair to show its hand.

 

EUR/AUD

EUR/AUD may be forming a bottom after being in a downtrend for months.  The pair appears to be forming the right shoulder of a potential inverse head and shoulders pattern.  Today we saw a strong move up from the most recent bottom, and I'm expecting a move up, at least in the near term.  As always, I could be wrong though.

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Categories: Discretionary Trading
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March 10. 2010 01:14