Welcome to Friyay buying and selling, errbody!
Assume you may make pips from EUR/AUD hitting a channel resistance and Cardano (ADA/USD) probably reversing within the subsequent buying and selling periods?
Check out their charts and let me know what you assume!
EUR/AUD is consolidating at 1.4800, which isn’t shocking because the psychological degree traces up with the 100 and 200 SMA on the 1-hour time-frame.
However wait, there’s extra! As you possibly can see, 1.4800 is close to the channel resistance that bulls haven’t breached since late April.
Will EUR/AUD prolong its downtrend? The chances are within the bears’ favor as Stochastic hangs out on the overbought space whereas diverging from the 1-hour costs.
Momentum under 1.4800 might take EUR/AUD all the way down to the 1.4700 mid-channel ranges and even Might’s lows close to 1.4600.
A break above the channel resistance, alternatively, might push the euro to the 1.4950 and 1.5000 earlier resistance ranges.
Appears like ADA bulls are CardaNOT surrendering the 0.780000 degree to the bears!
And why not? 0.780000 has supported ADA/USD within the second half of March and Stochastic is giving us “oversold” vibes.
It additionally helps that the 100 SMA appears to be like able to cross over the 200 SMA. The final time we noticed a crossover was earlier than ADA/USD began a steep downtrend.
Extra importantly, the final time the 100 SMA crossed above the 200 SMA was in March simply earlier than ADA/USD shot up from 0.800000 to 1.250000.
Will we see a bounce from the assist this week? Be sure you know all about ADA/USD’s common volatility so that you’ll know the place to position your stops and targets in case we do see some motion!