EURUSD

EUR/USD

Last week I stated " The levels to watch this week is the new demand point that was created at 1.3485 ( support Pivot.) If we break that level look to see an attack on the main support at 1.3460. If that support breaks Euro Downside target 1.3375 in my opinion. On the upside we still need a break and close above 1.3640 to have a run at long term resistance of 1.3735 and the upper 1.4000 level." Last week we had a test of the 1.3470 level, with the lowing coming in at 1.3472. The market quickly reversed up and created the new natural rally that we have seen with the new short term high of 1.3705. In my opinion we should see some short term consolidation in the EUR/USD and create a bit of a consolidation zone between 1.3630 and 1.3710.

The levels to watch out for this week is the same support of 1.3470 on the downside, and any break and close above the new high of 1.3705, I would make that 1.3715 to take into consideration some lost motion. If the EUR/USD can sustain the rally above 1.3405 we will have a quick move to 1.3751, for more consolidation between the 1.3740 level and 1.3800. This move for me would confirm we are heading to the 1.4000 major resistance. Conversely, if we break and close below the 1.3470 level, expect a target of 1.3350 with the root point low in sight of 1.3105.

GBPUSD

Caption " Last Weeks Chart"

GBP/USD

Last week I stated

" The call on a break of 1.5990 to sell the next rallies of GBP/USD was spot on, the target on the low side was not hit however, the low only reaching 1.5916. GBP/USD is showing an Interesting pattern on the four hour chart above. We have a potential wave further down if we cannot sustain the rally above 1.6030- 1.6050. I am looking to sell GBP/USD on any failure to close above that short term level. Looking for the 1.5760 target that i wrote about last week. If I am fortunate enough to get a sale at 1.6030 - 50 my stop would have to be 1.6115ish in my opinion."

GBPUSD

Caption " This looked Real Exciting At First!"

Last week we had a rally right up into the potential 4 Fibonacci Wave and the GBP/USD retreated nicely from 1.6060 to the low of 1.5894. Its in ability to close below that level (also a classic Head Fake Trade was created there on the 4 hour chart, caused the GBP/USD to become nothing short of Lazarus being resurrected from the dead! The GBP/USD erased all its losses and blew the wave pattern out, forcing a new look. I had taken that short trade at 1.6045 only to be stopped out at Entry causing no loss, but a bit of tremendous confusion. This week I am still slightly bearish on the GBP. I think if the cable breaks below 1.6115, we could see a move back to the 1.6050 level for a new look. Any close above the new high of 1.6225 causes a reaction to 1.6380.

USDJPY

Last week I stated " The USD/JPY currency is locked in a range at the moment 99.00 on the upper end and 97.10 on the lower end in my opinion. I am still looking too sell this cross and I think 134.05 is looking as a good level to start taking a short, once again in my opinion at this time."

USDJPY

Last week USD/JPY dipped right into our buy zone and slowing grind up causing EUR/JPY to rally to 134.20. I am a cautious seller of EUR.JPY, I am looking to see if the EUR/USD consolidates lower and the USD/JPY rally stays contained. Nothing gas changed from last week I expect the USD/JPY to stay in the upper end of the range "i.e." 98.35ish. In my opinion this currency is coiling for a brake in either direction. Any brake of 99.10 cause a short cover rally to 100.30, conversely any brake of 97.50 causes further move down to 96.45 level with the root point low of 95.80 in sight.

EURGBP

EUR/GBP

Last week I stated " This week I expect more of the same as GBP/USD may begin the run to the downside before any EUR/USD reaction. The support level has been moved up slightly to .8420. Any break of the .8380 level concerns and cause a totally new look." The support at .8420 is still well in place, this week I am expecting the GBP/USD to come off a bit, causing this cross to rally further. I think the GBP/USD will be in a bearish tone this week, that will also cause the EUR bulls a bit of a conundrum,

Enjoy The Party…Dance Near The Door…Remember The Market is Always Right..

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