Daily Chart Art – March 23, 2012

EUR/USD: 1-hour

EUR/USD 1-hour Chart

There ain’t no better way to end your week than with a sweet little trend play. You’re in luck because it’s on our favorite pair, too! After topping out just under 1.3300, EUR/USD has been trending down and it has formed a falling channel in the process. If you want to get a piece of this action, you may want to consider shorting this pair right now. Price is currently flirting with a falling trend line, which just so happens to line up with the Fibs and the 1.3200 major psychological handle. It’s as good a potential turning point as any, don’t you think?

USD/CHF: Daily

USD/CHF Daily Chart

Say goodbye to dandruff because we’ve got an inverse head and shoulders pattern in the works on USD/CHF! The daily chart shows that the pair has been hesitating at the .9100 handle, where the left shoulder lies. If sellers are unable to break below this level, we may see price rally up to the neckline at .9300. There we’ll see if buyers can break the neckline to forge a new high. Keep your eyes on this pair, homeboys!

USD/JPY: 1-hour

USD/JPY 1-hour Chart

Last but not least is this retracement play on USD/JPY. If you think the pair has more losses in store, then this might be the setup for you! After yesterday’s huge slide, sellers have been taking a breather, allowing USD/JPY to retrace its footsteps. The 83.00 major psychological level was an area of interest in the past, and it looks like it may draw the spotlight once again. It’s a tempting place to short since it lines up really well with the 38.2% Fib level. But you might wanna play it safe by waiting for confirmation from candlesticks before you commit to a position. Good luck and happy trading!

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.

  • Sbt6595

    Your assessment on EUR/USD pair seems off the mark quite frequently. On 19th mar, instead of dropping from 1.370 level, it went all the way to almost 1.33 level. On 22nd mar , again base on your assessment the pair did not drop but broke upwards during euro session. Most of the times you take a bearish stand on the pair.
    You should not leave out the ┬ámarket sentiment influencing the pair. If your argument is that you base your setup on technicals, then there should be setup calling for “Long” on the pair, is’nt it??? Most of your setup are “sell” ???Why? Please pardon me for being blunt.