Forex Signals Brief for August 29th – Good Day to Trade Technicals
Arslan Butt • 2 min read
Seeing as the economic calendar has nothing to offer us today, we need to focus on key technical levels to find positions in the market. Here’s what I’m watching today…
Top Economic Events Today
US Dollar – USD
The only economic event that's worth our attention is CB Consumer Confidence which is expected to be released at 14:00 (GMT) by the Conference Board Inc. It's expected to release slightly lower at 120.9, below the previous figure of 121.1. It's a survey of about 5,000 households which ask respondents to rate the relative level of current and future economic conditions including labor availability, business conditions, and overall economic situation.
Top Trade Setups Today
EUR/USD – ABCD Pattern In Play
The EUR/USD is trading exactly as forecasted in my Forex Signals Brief For 28th August- 3rd September. On the EUR/USD daily chart, the pair has broken above the bullish flag at $1.8040, signifying the strength of the bull power. The immediate resistance is found at $1.1997.
EURUSD – ACBD Pattern – 4-Hour Chart
Remember the ABCD pattern on the 4-hour time frame? The pair was on its way to complete the CD leg of a pattern at $1.19770/1.2000 and the prices are almost there.
For now, entering buy positions seems bit risky. Stochastic RSI is massively overbought which suggests we catch retracement.
EUR/USD – Key Trading Levels
EUR/USD Trade Plan
Today, I'm planning to stay in sell below $1.2000 to target $1.1945 with a stop loss somewhere around 1.2025.
USD/CAD – Swing Trade Doing Well
On Monday, we discussed a long term bullish setup in the Loonie. We can see the pair doing well and had a good run of nearly 70 pips.
USDCAD – Double Bottom In Play
Take a look at the weekly timeframe, the pair has formed a double bottom at $1.2425 and it's all set to retest this level again. Breakage below this level could encourage sharp selling until $1.2240.
Stochastic RSI has started coming out of the oversold zone, signaling a bullish sentiment of investors. Today, the US consumer confidence report may provide us with more clues about the direction of the pair.
USD/CAD- Key Trading Levels
USD/CAD Trade Plan
I'm sticking with the same plan to stay in buy above $1.2425 in order to target $1.2800. We need to move stops at break even once our trade show profit. Don't worry about the random behavior of the market, it happens when most of the investors are out of the market. Most of them will be back on Friday to trade Non-farm payroll. Good luck & trade with care.