FX Setups

On the FX side I see two interesting setups in development today – just in time I might add as I was starting to get bored out of my mind:

Fortunately I can now report an upgrade toward mild excitement as shown above. Anyway, here are our two victims:
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Victim No. 1: USD/CAD – which is knocking on its first NLBL and already failed a first attempt to breach. Now, there are two more hovering nearby plus there are two upper Bollingers waiting as well. So, you probably know what I’m thinking – that’s right, trade the inverse and get positioned short with a stop outside both BBs. Of course if your stop does get hit it’s probably fair to hitch a long ride higher once we breach that second NLBL. No perfect science here and your mileage may vary but I think the energy distribution here is pretty juicy, especially with the hourly painting support (via a NLSL). A breach of that NLSL would confirm a short trade in the next few hours.

Victim No. 2: USD/CHF – same theme and same setup. Only difference is that this bugger already breached its first NLBL, but yet has to close above it. Maybe it’ll be our canary in the coal mine (look it up).

Cheers,

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