Daily Chart Art – February 6, 2013

AUD/USD: 4-hour

AUD/USD: 4-hour Chart

Will ya look at that — AUD/USD is back at the bottom of its range, testing support at 1.0350! Will we see a bounce or a break? We can’t be certain, but a bullish divergence on the 4-hour chart seems to suggest that buyers may step in to take control of the pair soon. If you want more confirmation, just wait for a candlestick pattern to form before committing to a position. Check out our Japanese candlesticks cheat sheet for tips on how to trade different formations!

NZD/USD: 4-hour

NZD/USD: 4-hour Chart

Here’s an update on NZD/USD’s ascending triangle, which I pointed out last Friday. As you can see, price has already made its way up to .8450, and so far, the bulls aren’t easing off the gas pedal. Price is still hanging right around the key resistance level. Remember, ascending triangles tend to break to the upside, so this could be the market’s way of telling us to get ready for another push higher. If you plan on trading this setup, I suggest you check out our lesson on trading breakouts!

EUR/CHF: 1-hour

EUR/CHF: 1-hour Chart

Wow! Cyclopip was spot on with his prediction on EUR/CHF! Price finally broke through the double top’s neckline and retested it as resistance. The question now is, will EUR/CHF continue falling? If you think it’ll head deeper into bear country, you might want to exit near the previous low at around 1.2260. On the other hand, you’re better off waiting for price to break back above the neckline if you’re feeling bullish for the pair.

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.

Leave a Reply

Your email address will not be published. Required fields are marked *

You may use these HTML tags and attributes: <a href="" title=""> <abbr title=""> <acronym title=""> <b> <blockquote cite=""> <cite> <code> <del datetime=""> <em> <i> <q cite=""> <strike> <strong>