Daily Chart Art – April 29, 2010

USDJPY: Daily

PoD Chart

Whoa! There’s a ton of things I’m seeing on the USDJPY daily chart! First, check out that falling trend line connecting the highs of the price. After breaking above that trend line last month, the pair climbed to a high of 94.79 before sliding down for a retest. Now that the pair has bounced off the broken trend line, the upward price action could continue. But before that happens, the pair still has one hurdle and that’s the neckline of the complex inverted head and shoulders formation. If it is able to surge past the 95.00 mark, it could make a beeline for its 8-month high of 97.76.

NZDUSD: Daily

PoD Chart

Heads up for another daily chart! This time, let’s take a look at the NZDUSD pair. There’s also a falling trend line connecting the highs of the price but the pair has yet to break above it. In fact, it has been consolidating right on the trend line recently, probably gathering enough steam for a breakout. Also, the pair has been moving within a rising channel and has been stuck at the upper half of the channel since last month. If it does breakout, it could gun for this year’s high of 0.7439. If the trend line and the channel hold, the pair could fall back until this month’s low of 0.6965.

AUDJPY: Daily

PoD Chart

Let’s now move on to the daily chart of the AUDJPY. So after dipping sharply by almost 200 pips the other day, the pair was able to bounce back and recover most of its losses. The pair actually found support at the 85.00 handle and at the rising trend line. However, it is still bounded within a rectangle or a box. Since its uptrend is still intact, the pair has a higher chance of breaking to the upside. Judging by the height of the box, the pair’s upside target would be at 90.00. It could race towards that level if it’s able to move past the 87.50 resistance. On the flip side, the pair could fall to around 82.80 if it breaks below 85.00.