Happy Sunday Great Traders,
Yesss, we are heading into the fourth week of October.
For those traders who have met their monthly target, this may be the week to stay off the market. And
For those traders who are on recovery mode, this may be the time to ensure only high probability trades are taken, with great caution.
So…, enough of the preaching and straight to our beloved charts.
1. GBP/USD
We visited this chart’s last week Thursday, you can check here
The reason I am revisiting this chart is because nothing much has happened since Thursday. Price is still resting on a key support level (1.30053). At this point, Price could go either way.
A bounce from the present support level could send price on a bullish run to the next resistance level which is above price level 1.31867.
A breakout from the current support level should see the bears take price below level 1.28734. Waiting for confirmation is key on this trade.
2. GBP/JPY
After GBP/JPY broke out from a key resistance level (147.152) on a daily chart, afterwards, the bulls lost steam at level 149.700 and started a bearish move.
Currently, price is resting on a key support level (145.902). A breakout of the present support level will most likely send price below level 144.364. There is also a slight probability that price could take a bullish move to level 148.642, anything is possible.
However if I am going to take this trade, I will be waiting for a support breakout…That’s my bias.
3. CAD/JPY
This is another setup, we discussed about on Friday… You could check here to see the 4 hours time frame analysis.
On the daily chart, price is on a key support area (85.664), a breakout could hit the next support area (84.538), which is an ascending support level.
Don’t forget that on the 4 hours time frame, we still have a head and shoulder, and a breakout below the support is still very much valid. However if the current support level bounces price off, we could see bulls take price to level 86.346.
That’s all we have for the week, trade with caution and sound money management rules.
Remember what George Soros said:
It’s not whether you’re right or wrong, but how much money you make when you’re right and how much you lose when you’re wrong
Kindly share and also comment what your views are about our analysis.
Do have a grand week ahead
