Daily Chart Art – October 30, 2013

EUR/USD: 4-hour

EURUSD

The euro bulls and bears better gear up for the battle ahead! EUR/USD is fast approaching the 50% Fib on the 4-hour chart, which is in line with previous resistance areas. Think the pair will go back up? A stop below the Fib levels is a good idea if you’re long on the euro.

NZD/USD: 4-hour

NZDUSD

Here’s something that my four-year old niece can trade! NZD/USD is trading at the .8250 handle. The area has been supporting the pair since mid-September, so I wouldn’t be surprised if we see another bounce. Will the bears finally break the level this week or will the bulls keep their fort intact? Watch this one closely, homies!

USD/JPY: Daily

USDJPY

Somebody holler at Huck! USD/JPY found support at the 97.00 handle near a rising trend line and the 200 SMA. The pair is now about 100 pips above the bounce, but the bulls could still hustle some muscle especially if this upward move gains momentum. A wide stop below the trend line could still get you a decent risk ratio if you think that the dollar is headed for new highs.

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.

  • This might sound crazy but the Euro support you’ve identified at 50% fib is in the same zone as previous support… like indicator magic!

    • Cake

      Well duh, why do you think he specifically mentioned the 50% fib and not the 38.2 level?

      If you use fib on it’s own, you won’t last long.