Daily Chart Art – February 23, 2010

AUDUSD: 1-Hour

PoD Chart

Let’s first check the 1-hour chart of the AUDUSD. As you can see, trading was a little flat as the pair just consolidated into a symmetrical triangle formation yesterday. Volatility, though, might pick and we could see a break out later due to some major economic events around the globe. The pair could once again hit its monthly high if and when it breaks out to the upside from the pattern. On the flip, it could fall back to the support around the 0.8950 area if it slips below 0.9000.

NZDUSD: 1-Hour

PoD Chart

Next, we move on to see the AUDUSD’s cousin, the NZDUSD. Similarly, the pair kind of went the same way by consolidating into a symmetrical triangle formation as well yesterday. If buying interest returns and the pair broke out to the upside, we could see it reach at least the high at 0.7062. Though, it could also fall back to the 0.7000 handle if the triangle’s support gives way.

GBPJPY: 1-hour

PoD Chart

Next is the GBPJPY 1-hour chart. The pair has been making lower highs and finding support around the 140.90 level, eventually creating a neat descending triangle formation. With the stochastics crawling towards the overbought area, the pair could climb to retest the resistance at the top of the triangle. If its downward momentum is strong enough, it could take the pair below the bottom of the triangle and send it tumbling until the psychological support at 140.00. On the other hand, if buyers regain the upper hand, they could push the pair above the top of the triangle until it encounters resistance around 142.00.