Daily Chart Art – November 15, 2010

EUR/USD: 4-hour

EUR/USD Chart

Hey y’all! Don’t those dojis on EUR/USD make you wanna get out of your snuggie and just start doin’ the dougie? Ha! I thought so too. Well, it looks like both buyers and sellers are neck-and-neck at 1.3700 where the pair has previously found support. At a glance, EUR/USD looks like a tempting sell as those sexy candlesticks signal a possible reversal following that bullish marabuzo. However, connecting the most recent highs we see that the pair is already trading beyond the falling trend line. Could this mean the downtrend is over for EUR/USD? It might be too too early to say so be sure to watch out for more of ’em sexy candlesticks. If we get enough euro lovin’ today, we may just see the pair end back up at 1.3800.

EUR/GBP: Daily

EUR/GBP Chart

And here’s another pair that just makes me wanna spin my head right round! Get dibs on the daily chart of EUR/GBP and you’ll see that the pair is sportin’ a spinning top at the 38.2% Fib which is also a support and resistance level. With Stochastic hollering that the pair is already oversold, it looks like EUR/GBP is already done retracing some of it gains and there’s a good chance that buyers could hustle it up to .8650. But I wouldn’t be so hasty in betting my pips on the euro’s swagger before I read up on Pip Diddy‘s take on fundamentals. If the pair closes below .8450 and taps a new two-month low, sellers may just be able to drag it down to .8380.

USD/CHF: 4-hour

EUR/GBP Chart

Now let’s get the lowdown on the Swissy. After that downtrend from the other week, USD/CHF pulled up into a rising wedge formation. From what I’ve read in the awesome School of Pipsology, this chart pattern usually serves as a continuation signal when formed after a downtrend. Aside from that, I also learned that higher highs in the price plus lower highs in the Stochastic equal to a regular bearish divergence. Well, that’s exactly what I’m seeing on this USD/CHF 4-hour chart, so better be ready with those short orders if the pair makes a break to the downside!