Three great setups with the NZD and AUD
As we are closer to the end of the week, let us look at the weekly chart on the NZDJPY, where we are having a very interesting situation. The price is trying to create a weekly hammer on the super important long-term horizontal support around the 75.7. If succeed, we should get a legitimate buy signal.
Two interesting setups with the AUD. First one will be the AUDUSD, where the price is trying to form an inverse head and shoulders on a crucial horizontal support. Bullish success here, so the price closing above the neckline, will also mean a false breakout below the orange area. All that together would be a strong buy signal… Would be, because we still have to wait for that, as the right shoulder is being formed but the neckline is still far.
The second one with the AUD is the AUDCAD, where the situation is pretty similar. We do have a horizontal support and an attempt to create an iH&S formation. Here we also have to be patient. Only the breakout of the neckline will allow us to go long.
This article is written by Tomasz Wisniewski, a senior analyst at Alpari Research & Analysis