Daily Chart Art – October 7, 2013

GBP/AUD: 4-hour

GBPAUD

Range traders huddle up! GBP/AUD is about to hit the 1.6900 major psychological handle! This would be a fantastic long trade setup especially if you’re also watching the oversold stochastic signal. If you think that the pair won’t reach the area though, then you could always play the 1.7000 handle and place a wider stop. You should still be able to get a pretty good risk ratio if you aim for the range resistance.

GBP/JPY: Daily

GBPJPY

Here’s something for the trend warriors! GBP/JPY looks like it’s on its way to 154.00, which is not only a former support area, but is also near a rising trend line retest and the 61.8% Fib on the daily chart. And check out the possible bullish divergence in the making! Think the pound is due for a bounce? If you do, then this setup is for you!

USD/JPY: Daily

USDJPY

What a tossup! USD/JPY has just reached the intersection between the trend lines that made up a broken symmetrical triangle on the daily chart. So which way will this baby go? The oversold stochastic signal is tipping the odds in favor of the bulls, but we never know when a dollar-bearish wave could hit this pair! Watch this one closely, will ya?

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.