Daily Chart Art – March 14, 2012

GBP/USD: Daily

GBP/USD Daily Chart

Is that a fakeout I see? Why, yes it is! Yesterday, the pair failed to break support at 1.5650 and bounced higher. With the Stochastic showing that conditions are oversold, it looks like the bulls are going to take control of the pair again soon. If you’re looking to buy this pair, then now is a good time to consider jumping in!

EUR/GBP: Daily

EUR/GBP Daily Chart

EUR/GBP took a big hit yesterday and slid down once again to test the rising trend line. Whether the support will hold or not is still uncertain, but with the formation of a bearish marubozu, it looks like we’ll likely see a breakdown. In any case, whether you’re going to go long or short, it’d be best to wait how today’s candle will close for confirmation!

NZD/USD: 4-hour

NZD/USD Daily Chart

Last on my list of charts today is the NZD/USD 4-hour. As you can see, the pair managed to rally slightly after it had bounced off the .8150 level. But with the very major support-turned-resistance at .8250 coming up, it looks like the pair doesn’t have much room to go. Watch this pair closely and see if the bears will be able to defend .8250 once again.

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.