Daily Chart Art – October 10, 2012

EUR/JPY: 4-hour

EUR/JPY 4-Hour Chart

Is this setup beautiful or what? EUR/JPY is finding support at a rising trend line that has been holding since early August. Not only that, but a bullish divergence has also popped up right when the pair is trading near the 101.00 psychological level! Will the euro bulls step up to the challenge and push the pair higher?

EUR/GBP: Daily

EUR/GBP Daily Chart

Hey look, homies! EUR/GBP just got rejected at a previous resistance area! The pair just bounced from the .8100 handle and formed a nice double top on the daily chart. Of course, the overbought stochastic signal isn’t looking half bad either. A stop above the previous highs could give you a good risk ratio if you aim for the neckline at around .7950.

USD/CAD: Daily

USD/CAD Daily Chart

Somebody holler at Happy Pip because this setup is too hot to not trade! After falling from its 1.0400 highs in June, it looks like the USD/CAD bears are taking a breather near the .9800 area and forming a possible bearish pennant. Pennants can also be symmetrical triangles though, so watch this setup closely in case it breaks to the upside!

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.

  • Granticus_Maximus

    I just noticed also that the EUR/USD 200SMA on both 4hr and 1day charts are both around 1.28300 area, which is also in line with my first support level on my pivots indicator, as well as being a support before the last retracement move up… Might see a slight pull back? Otherwise with all of the negative news it may just smash right through it, which would supports your EUR/GBP short in this daily chart art…

    I’m currently short on the EUR/AUD. EUR has been selling off pretty hard over the past few days with all of its negative news but AUD looks pretty resilient atm. Let’s see how things pan out! πŸ˜€

    What are your thoughts on the direction mate?

    • Granticus_Maximus

      Also noticing a wedge in the EUR/JPY …will it break? Or will the bears take a break?

      • Granticus_Maximus

        Looks like it broke ‘le wedge

      • InvestmentCapitalSystems

        either both? πŸ™‚

    • bigpippin

      If today’s candle on EUR/AUD closes in the red, that would form a three black crows formation! Watch out for that 1.2550 price level, it could be turn out to be a resistance-turned-support level.

      • Granticus_Maximus

        Thanks mate, yeah I have it marked on my chart. I’m thinking of taking profit there and then watch to see if it breaks. If it does, I’ll consider re-entry, and if it doesn’t – I’ve just locked in max profits πŸ™‚

        Isn’t the three black crows formation bearish anyway? (>_>)

        • bigpippin

          Yes, it is bearish, which would be awesome for your trade! Good luck bro!

          • Granticus_Maximus

            Ahh mannn… I closed near the low last night and then I was at uni seeing a lecturer during the Aussie Job reports and didn’t have any pending trades to enter with! (>_<) …Could’ve been another 40 pips or so just from the report πŸ™ …oh well.

  • fxsniper

    while 1.2550 is a good support layer on euraud, it is not core. I will only trust it to push pair into more potent selling level around 1.2677 and from there, I should be looking for 1.23 core support. Another scenario is a continuous fall through 1.2550. Brief, taking profit off 1.2550 is good but using it for more longs at this time is way dangerous

    • Granticus_Maximus

      I agree, which is why I’m going to close my short and wait for another opportunity to re-short. Not planning on going long right now on the EUR/AUD. Like you said, it’s a pretty dangerous move unless market sentiment moves in that direction, then it becomes considerable.

      • bigpippin

        That Aussie jobs report just sent EUR/AUD below 1.2550!

        • Granticus_Maximus

          I decided just to close last night at around 1.2570 πŸ™

  • Oliver

    .I’m a regular user and I’m really grateful for the contributions given daily and one of his greatest contributions, school psychology, really πŸ™‚ I’m very grateful, really thanks for the great effort devoted every day

    • bigpippin

      Thanks for the kind words homie!

  • Oliver

    And whoever it is who has made ​​the study of psychology, really congratulate you, are the best …

  • fxcode

    i am always very great full to babypips and all who takes time to update the pages especially this daily technicals. aslo why is the most popular pair fibre not here also the Usd/Jpy?

    • bigpippin

      Hey fxcode, I normally rotate between the pairs to give everyone different looks at each of them.

      • fxcode

        ohh i see, cos some times i look forward to see my pairs but dont see them.well thanks..and great job

  • RB

    Pretty looking bullish flag on that Eur/usd chart!

  • Zidan

    EUR / USD on Simple moving average 200 days @ 1.2822 More accurate than the flag on ur drawing so it did a low at Asian session near than it >>so lets Sowhat European going to to do

  • ttraykov

    There is also a double top formation and the 25 SMA is over 14 SMA on the daily chart