Daily Chart Art – April 21, 2011

AUD/USD: 4-hour

AUD/USD Chart

Make that another new high for AUD/USD! This pair just keeps going and going, doesn’t it? Be careful though, stochastic is already in the overbought region, suggesting that the bulls are running out of steam. A retracement could take place while the Aussie bulls catch their breath, which means that Happy Pip could have a chance to jump in on the uptrend. AUD/USD could pull back to the former resistance level around 1.0580, which is in line with the 50% Fib level, before heading any higher. But if the bulls can’t wait any longer, they could burst through the 1.0700 handle in a jiffy!

NZD/USD: 4-hour

NZD/USD Chart

Double tops, double tops, throw yo hands up! Tell NZD/USD the markets about to tear this pair up! Alright, so my song writing skillz ain’t as fly as my homey Trey Songz’. But that doesn’t change the fact that some double tops may be forming on NZD/USD! The pair seems to have found tough resistance at the .8000 psychological handle. With stochastic also showing overbought conditions, we may see some more selling take place. Watch out though for a solid candle close above .8000, as it would signal that this pair is just headed for new highs!

USD/CAD: Daily

USD/CAD Chart

Ooooh baby, look at that sweet and sexy channel on USD/CAD! Over the past six months or so, USD/CAD has been on a steady decline and is now sitting just above the .9500 handle. With the pair now testing the bottom of the channel and psychological support, could we see a bounce soon? Lemme warn you though, it might be best towait for a reversal candle signal before going long on this pair!

  • Vikram

    Hello Chart master, What time zone you are predicting your chart suggestion.

    I live in Pacific time zone so when you put your suggestion on babypips.com it is too late for me to follow. Please reply in time

  • Eka

    Hi, Im new to forex trading, I want to ask a question on the NZD/USD chart. Do you mean to say that if the price breaks down past the 0.7850 it will be a good idea to sell NZD/USD? Should that be the trigger?