Daily Chart Art – July 19, 2011

EUR/USD: Daily

EUR/USD Daily chart

First up, let’s take a look at Huck‘s favorite pair, EUR/USD! After topping out at 1.4800 earlier this year, the pair has traded within a descending channel. Currently, this playa is trading in a place I like to call No Man’s Land – it’s right smack in the middle of the channel! If you’re bullish on this pair, you can wait till a strong bullish candle forms before establishing long position. If you’re on the bear side however, it might be best to wait for a break of this week’s lows before going short.

GBP/USD: Daily

GBP/USD Daily chart

Next up is Cable. In the past, the 1.6000 handle has served as a major support level. However, it appears that the psychological level seems to be weakening, as we’ve seen many candle closes below 1.6000 over the past couple of weeks. With the pair forming lower highs and recently bouncing off a falling trend line, could we finally see a much stronger move lower?

USD/JPY: Daily

USD/JPY Daily chart

Lastly, let’s hop on and see what’s poppin’ on USD/JPY. After consolidating just above 80.00 the past couple of months, USD/JPY broke down early last week and now appears to be forming a bearish pennant. Are the bears making a run for former lows at 76.50? Or will the bulls make a roaring comeback?

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. Check him out, playas!