The EUR/USD has declined to 1.2675 in the past week (the lowest level in last 2 years). The American currency is being extended in the past two months by prospects for tightening of monetary policy in the USA. FED will probably terminate support bond purchases by October and will start increasing interest rates next year. Reversely, the Euro is under pressure because of the weak economy of Eurozone, due to which the ECB is forced to continue in releasing and introducing new support tools.
EUR/USD
Anyone who has expected an increase of EUR/USD in the past week, was wrong. Last week, wave A was breached and the market weakened and dropped below 1.2700. This week we are expecting a consolidation and return to wave A, however the overall trend will be rather decreasing. If wave C is breached, we can expect a decrease up to the 1.2500 level.
GBP/USD
Although GBP/USD seemed to start to grow in the past week, its breath run out and opposite happened. It tested the 1.6200 level. In a long run the GBP/USD has decreasing trend, therefore we expect a movement from wave B toward wave A during this week. The decrease trend will probably stop at this point and have attempt the support level of 1.6000.
USD/JPY
The USD/JPY is still following a growing trend. After several breakouts and a rapid movement of wave B towards wave A we expect a cooling of the growing trend followed by consolidation. If consolidation is accompanied by attempts to break the EMA (50), it can lead to a decline up to wave B, and if it is breached it can likewise breach wave C.
GOLD
As wave C was not breached last week (did not drop below 1200USD), a strong support has surfaced. If there is no breach of wave C during this week, we can expect a stagnation below the EMA(50) level and slight growth, which should not exceed 1250 USD.
EUR/USD
Anyone who has expected an increase of EUR/USD in the past week, was wrong. Last week, wave A was breached and the market weakened and dropped below 1.2700. This week we are expecting a consolidation and return to wave A, however the overall trend will be rather decreasing. If wave C is breached, we can expect a decrease up to the 1.2500 level.
GBP/USD
Although GBP/USD seemed to start to grow in the past week, its breath run out and opposite happened. It tested the 1.6200 level. In a long run the GBP/USD has decreasing trend, therefore we expect a movement from wave B toward wave A during this week. The decrease trend will probably stop at this point and have attempt the support level of 1.6000.
USD/JPY
The USD/JPY is still following a growing trend. After several breakouts and a rapid movement of wave B towards wave A we expect a cooling of the growing trend followed by consolidation. If consolidation is accompanied by attempts to break the EMA (50), it can lead to a decline up to wave B, and if it is breached it can likewise breach wave C.
GOLD
As wave C was not breached last week (did not drop below 1200USD), a strong support has surfaced. If there is no breach of wave C during this week, we can expect a stagnation below the EMA(50) level and slight growth, which should not exceed 1250 USD.
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