Daily Chart Art – January 24, 2011

NZD/USD: Daily

NZD/USD Daily Chart

Is the Kiwi about to lose its shine? Judging from that double top formation, it looks like it’s about to take another sharp dive. At the moment, it found support at the former resistance level at .7550, which also happens to be the neckline of the formation. But if that breaks, the pair could tumble down to the next support level in sight, which is at .7350. However, stochastic seems to be crawling up from the oversold area, which means that buyers are trying to take over. If they do, they could push the pair back up to the tops near the .7800 handle.

USD/CHF: 4-hour

USD/CHF 4-hour Chart

After flirting with the .9800 handle early last week, USD/CHF is looking prime for a lil’ Fib action. The pair recently bounced off the 50% Fib near the .9550 level, and is sporting a bullish divergence in the 4-hour chart. It retraced a little after showing a big green candle, and is now lollygagging around the 38.2% Fib. Don’t miss out if the pair goes above its previous highs and reaches parity, but also keep close tabs on them currency bears because they just might be hungry enough to drag the pair all the way to .9300.

EUR/CHF: 4-hour

EUR/CHF 4-hour Chart

Look what’s sneaking up in the 4-hour chart! For the past few days EUR/CHF has been inching its way up on a rising channel, but it looks like it has reached its limits judging by the way it’s bouncing off the resistance. Is the pair scheduled for a trip to the south? Find out if the pair follows the pattern and drops near the 1.2900 handle, or if the bulls hustle enough muscle to push the pair to the next resistance at 1.3170.

6 comments

  1. Big PippinBigPippin

    To get the Stochastic indicator in mt4, click insert, then indicators, then oscillators. There you can find Stochastic.

    Reply
  2. LarryLivingston

    Slow or fast is just based on how you tune it.

    You will probably find that no onme setting works best for all time frames.

    I find using fib #s help too. Try 8,5,3 or 13,8,5 or 21,13.8 or even 34,21,13. Usually one of those will be tuned the tightest.

    Reply
  3. Big PippinBigPippin

    To get the Stochastic indicator in mt4, click insert, then indicators, then oscillators. There you can find Stochastic.

    Reply
  4. LarryLivingston

    Slow or fast is just based on how you tune it.

    You will probably find that no onme setting works best for all time frames.

    I find using fib #s help too. Try 8,5,3 or 13,8,5 or 21,13.8 or even 34,21,13. Usually one of those will be tuned the tightest.

    Reply

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