Daily Chart Art – April 4, 2012

EUR/AUD: Daily

EUR/AUD Daily Chart

Who wants a piece of some Fib action? EUR/AUD looks like it’s having trouble breaking above the 38.2% resistance on the daily chart, especially since the 1.2800 major psychological handle is also providing a challenge. Not only that, there’s also a bearish divergence and an overbought Stochastic signal just waiting for momentum! If you’re thinking of taking this trade, you should know that crosses are usually more volatile than the major pairs. Don’t place your stop losses too tight!

EUR/JPY: 1-hour

EUR/JPY 4-hour Chart

This bad boy has been bouncing around like a toddler on a sugar high for the past couple of weeks, finding support at 109.00 and resistance around 111.00. Just yesterday, it lifted off the range’s major support level and now it looks like it may make its way back up to retest previous highs. Keep an eye on this one, homies! A clean and easy range play could be in the works soon!

EUR/USD: 4-hour

EUR/USD 4-hour Chart

Lastly, here’s a Fib setup on one of Huck’s favorite pairs, EUR/USD! After rising over 300 pips over the past few weeks, EUR/USD looks like its finally retracing. I think we could see some potential support at the 1.3200 and 1.3150 levels, which just happen to line up closely with the 50.0% and 61.8% Fibonacci levels. Seeing as how Stochastic just entered oversold conditions, I’d wait for an actual crossover and some reversal candlesticks before going all in!

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.

  • Gust

    hi,

    where is pipin?

    • HarryPilgrim

      Enjoying well deserved Easter hols, I expect

  • Bijoymj

    It is better to weight for the candle to reach 1.2950 for a pull back on EUR/AUD as there is a major support zone there which may turn to a strong resistance. The level 1.2950 also coincides with Fib 50 % level.