EUR
Comment: Stuck below the top of the Ichimoku ‘cloud’ and note that it gets very thin next week. A sustained break above 1.3400 might turn momentum bullish.
Strategy: Buy at 1.3185; stop well below 1.3100. Add to longs on a sustained break above 1.3400 for 1.3600 and then more.
EUR/JPY
Comment: Prices have not capitalised on yesterday’s small ‘hammer’ against channel support and the 26-day moving average. We shall give them a bit more time, here and in many other Yen crosses with the Indonesian rupiah leading the way up.
Strategy: Attempt small longs at 130.45; stop below 129.50. Short term target 132.00 then 133.50/134.00.
GBP
Comment: A pity Cable did not manage a daily close above the psychological level at 1.5000, but maybe not that surprising considering it’s had no help from other major currencies. With a little luck a weekly close above here will send many off to re-think UK plc.
Strategy: Buy at 1.4995, adding to 1.4825; stop below 1.4550. Short term target 1.5050, then a lot more.
JPY
Comment: Yesterday’s small ‘hammer’ against first retracement support hints that we may have formed an interim high. If not today then hopefully by Friday a close above the 9-day moving average at 99.79 might add to bullish momentum. Note also that the lagging Chikou Span currently has support from the candles between 99.00 and 98.00.
Strategy: Attempt longs at 98.85; stop below 98.00. First target 99.70, then 100.70.
