Daily Chart Art – February 16, 2011

GBP/USD: 4-hour

GBP/USD Chart

Is that a breakout I see? Why, yes it is! If you’re part of the bull camp, you must be jumping for joy right now as Cable was able to make a clean break of the falling trend line resistance on the 4-hour. The upside break hints that the pair could experience more gains, possibly another rally towards former highs at 1.6250. That being said, keep a close eye on price action… You don’t want to miss Cable’s next move up!

EUR/USD: Daily

EUR/USD Chart

Uh oh… It looks like bulls are doing Island People’s The Creep on EUR/USD! Check out that spinning top and doji chillin’ at the 38.2% on the daily time frame! Make sure you give Pip Diddy‘s roundup a good read today and see if the euro has anything up its sleeves to get traders rushing into it. If the euro gets enough lovin’, we may just see the pair back up at 1.3800! Just don’t get too excited in rooting for the bulls though. Who knows, the bears could be getting ready to push EUR/USD down to 1.3200.

USD/JPY: 4-hour

USD/JPY Chart

Lastly, let’s zoom in to the 4-hour chart of USD/JPY. Aha! It looks like bears are about to take over and steer the pair down the charts with that hanging man candlestick and a regular bearish divergence. Now, if there are enough sellers lurking, USD/JPY could tumble all the way down to 82.00! Be careful not to get too carried away cheering on the bears though. Drawing some Fibonacci lines on the pair, it’s possible that we could only be in for a retracement. USD/JPY could bounce from the 38.2% level at around 82.85.

  • jibby03

    I seen the EUR/USD trade on this day as well and decided to go long on the EUR…just wondering if you ended up taking that trade? I have a profit of about 180 pips right now but im on the fence about changing my orders to take higher profits….i am thinking this pair is going higher.

  • jibby03

    I seen the EUR/USD trade on this day as well and decided to go long on the EUR…just wondering if you ended up taking that trade? I have a profit of about 180 pips right now but im on the fence about changing my orders to take higher profits….i am thinking this pair is going higher.