Daily Chart Art – October 12, 2012

GBP/USD: 4-hour

GBP/USD 4-Hour Chart

It’s not too late to join the bear camp on GBP/USD! This pair has slowly been making its way back up to the Fib zone after bottoming out around 1.6000. Right now, it’s just a few pips away from the 38.2% Fib, which lines up almost perfectly with a former support level. That being said, it’s a prime candidate for a potential turning point. But if you’re not quite ready to join the bears, you can also opt to wait until price rises a bit higher and tests the falling trend line on the 4-hour chart.

USD/JPY: Daily

USD/JPY Daily Chart

Over the past few months, the range that USD/JPY has been trading in has been getting narrower and narrower. Is this pair gearing up for a breakout? Maybe! With price forming a clear symmetrical triangle, it might just be a matter of time before the market makes its move. For tips on how to trade this chart pattern, I suggest you check out the School of Pipsology’s lesson on triangles. It’s a must-read!

AUD/USD: 1-hour

AUD/USD 1-Hour Chart

For our last setup of the week, we have AUD/USD with this sweet little number. It’s been making higher highs and higher lows over the past couple of days, forming a solid rising channel in the process. If you’re thinking of going against the herd and selling the pair, you may just get a chance to do so near the top of the channel around 1.0300. Just remember to wait for reversal candlesticks before you commit to a position!

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.

3 comments

    • Big Pippinbigpippin Post author

      Thanks man! When you spend as much time staring at charts as I do, you can’t help but notice these things. Haha!

      Reply

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