Daily Chart Art – April 26, 2012

AUD/JPY: 4-hour

AUD/JPY 4-hour Chart

AUD/JPY has had its ups and downs this month, and though it has been zigzagging across the charts, it has managed to stay within a pretty tight 175-pip range. Right now, price is crawling closer to the 84.75 resistance level, so I wouldn’t be too surprised to see selling pressure kick in soon. Also, Stochastic is already signaling overbought conditions, so it may just be a matter of time before this pair turns south.

GBP/USD: 1-hour

GBP/USD 1-hour Chart

It took a few tries, but GBP/USD finally made it above 1.6150! This resistance level dates back to as early as October 2011, so crossing it was a major accomplishment for pound bulls. The question now is, can they sustain the rally? Those of you who are thinking of jumping on the bull bandwagon may want to consider going long at 1.6150. It could very well turn out to be a resistance-turned-support level!

EUR/JPY: 4-hour

EUR/JPY 4-hour Chart

Buckle your seatbelts, fellas! EUR/JPY is fast approaching the 108.00 handle! This served as a strong resistance area last week, and it also lines up quite well with the 50% Fibonacci retracement level. Things could get bumpy as the market approaches this former area of interest, so be sure to consult the School of Pipsology’s lessons on Japanese candlesticks before you commit to a position!

Before you get carried away with all these chart patterns, remember that technical analysis is only half the story.

To get the complete picture and avoid getting blindsided by economic data, you also have to do your fundamental analysis.

Lucky for us, Pip Diddy fills us in on what we need to know about fundamentals with his Daily Forex Fundamentals.

  • Sunshine

    Hello Dear,
    Please Help  me.
    When  will I take entry  ?

    1. Price touch support level and stochastic  show oversold.
    2. Price touch support level and stochastic show oversold and a  candlestick pattern formed.
    3. Price  touch horizontal support and stochastic show oversold and a candlestick pattern formed + price touch a trendline + a fibonacci retracement level. 

    Which condition do you prefer for take a long entry ?

    About number 3, I can not find them all time together. That’s why If I follow this, I miss many trades.

    So please help me by giving your valuable consultation.

    I have another story.

    If I draw trendline according to H4 and If I see M15 is holding, then If  I see that price touch trendline and M15 is holding, then According to H1 can I go to long ?

    Please, Clarify these kindly……Pls….Pls…..Pls