Daily Chart Art – August 24, 2016

NZD/USD: 1-hour

NZD/USD: 1-Hour Forex Chart

NZD/USD: 1-Hour Forex Chart

Trend traders huddle up! NZD/USD is about to hit the .7250 mark, which is right smack at a rising channel support on the 1-hour time frame. Not only that, but the minor psychological handle also lines up with the 100 and 200 SMA retest! The cherry on top of the setup sundae is an oversold signal from stochastic. Think Kiwi is about to gain pips on the Greenback? Good luck on your trend-trading strategies!

GBP/USD: 4-hour

GBP/USD: 4-Hour Forex Chart

GBP/USD: 4-Hour Forex Chart

GBP/USD looks like it’s about to test the 1.3200 psychological level, which lines up with what looks like a resistance of a descending triangle on Cable’s 4-hour time frame. A bounce from the trend line could drag the pair back to its 1.2875 support while an upside break could lead to an SMA crossover and possibly an uptrend for the pair. Watch this one closely in case we see a breakout today!

EUR/GBP: 4-hour

EUR/GBP: 4-Hour Forex Chart

EUR/GBP: 4-Hour Forex Chart

EUR/GBP is having trouble breaking below the .8575 mark, which is near the 50% Fib and 100 SMA retest on the 4-hour chart. Not only that, but the area also lines up with resistance levels from late June to early July. Will the euro bounce at current prices? Or will it go down further to test the rising trend line on the chart? Buying at current levels could still get you a pretty decent trade especially if you think that the euro will make new highs against the pound. Of course, you could also wait for a visit to the trend line if you’re not comfortable buying the euro right now.

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.