Daily Chart Art – August 3, 2016

USD/CAD: 1-hour

USD/CAD: 1-Hour Forex Chart

USD/CAD: 1-Hour Forex Chart

First up is a nice and simple trend trade on USD/CAD. The pair is having trouble breaking above the 1.3100 handle, which lines up nicely with not only a falling channel resistance, but also the 100 SMA on the 1-hour chart. The cherry on top of this bearish setup sundae is stochastic chillin like a villain on the overbought territory. Think the dollar is in for more losses against the Loonie? Watch this one closely, brothas!

EUR/GBP: 1-hour

EUR/GBP: 1-Hour Forex Chart

EUR/GBP: 1-Hour Forex Chart

I spy with my cool, bedroom eyes an easy peasy uptrend setup on EUR/GBP! The pair looks like it’s bouncing from the .8400 major psychological handle (MaPs), which is also right smack in the rising channel support AND 200 SMA on the 1-hour time frame. What’s more, stochastic is also in the oversold area. A long trade at current levels could get you a good reward-to-risk ratio especially if you aim for the previous highs. Just make sure you make enough room for currency cross volatility when you set your stop losses!

NZD/USD: 4-hour

NZD/USD: 4-Hour Forex Chart

NZD/USD: 4-Hour Forex Chart

Here’s another comdoll trade for ya! NZD/USD has just bounced from the .7250 handle, a resistance area that hasn’t been broken since late June. This time around a bearish divergence is also making itself known on the 4-hour time frame. Will the Kiwi soon see losses against the dollar? Read up on trading ranges like these if you haven’t done it yet!

Forex Chart Settings:

Slow Stochastic: 14,3,3
100 SMA: Blue line
200 SMA: Red line

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.