Forex $HUF midweek update

Seems like the HUF hit a major resistance against both EUR and USD earlier this month. But this is statement wouldn't paint the right picture. So, drill down in the charted technicality.

USDHUF

Note the support area (1) between 192 and 200 (resistance for the HUF) and the concerning MACD (2) and RSI (3) lower lows. In my world a support that meets indicator lower lows equals strong reversal signal. 

EURHUF

Note the support resistance line (1) at 277. The key difference to the USDHUF is that there is no clear outlook readable from the technical indicators. Check how the MACD is making a high (2) and turns back South, while the RSI is making a new low (3) turning North. It feels like we have found a nice channel where neither sellers nor buyers are in control. Albeit for buyers the clouds might be taken away by recent higher lows of October.

Ideas

USDHUF you can try to go long when support area is penetrated to the North. With care!

EURHUF if you got the balls go for a short scalp around 277 with extreme care. For a long position be patient until 277 is broken to the upside.

Good luck and don't ever try to blame me for taking any of my ideas too serious!

Trade on,

 

Dez