EUR/USD big break for higher is located at 1.1862 and EUR/USD trades below. USD/JPY broke vital 109.65 and trades below to achieve lows at 109.45. EUR/USD and USD/JPY are mispositioned. Either USD/JPY trades above 109.65 or EUR/USD trades above 1.1862. Correct as 2 opposite currencies and to align USD vs EUR, currency markets must align all USD and non USD correctly.

GBP/USD for example trades below 1.3842, NZD/USD barely above 0.7080 and mispositioned USD/CAD trades above 1.2563.

USD/CAD at severe overbought is clear to again short to 1.2621 on break at 1.2641. USD/CAD last week closed at 1.2686 and trades current 1.2679. Rarely seen for weekly trades to return to the close price but EUR/USD and USD/JPY as misaligned currencies is possible for any scenarios until both rightsize.

USD/JPY affects JPY cross pairs as deeply oversold EUR/JPY trades below 130.06, GBP/JPY trades below vital points. Deeply oversold AUD/JPY trades below and watch NZD/JPY 77.64.

Deeply oversold CAD/JPY sits below 87.31. Recall Sunday CAD/JPY trade to the 2nd leg. Short 87.19 to target 86.88. CAD/JPY traded to 86.33 lows and closed last week at 86.55.

Not only is EUR/USD and USD/JPY misaligned but JPY cross pairs must decide correlations to either EUR/USD or remain with USD/JPY. Misaligned EUR/USD and USD/JPY means JPY cross pairs contain an equal chance to again align to EUR/USD or USD/JPY.

Best trades to cross pairs are long EUR/JPY , AUD/JPY and CAD/JPY. Stand clear GBP/JPY, NZD/JPY and CHF/JPY. CHF/JPY is deeply affected by USD/JPY as the same exact currency.

EUR/USD and USD/JPY must rightsize this week or next week's trades face crucial selection issues to which pairs are most vital to ease and profit pips.

USD/JPY day trade top is located at 110.07 and 110.01 on a break of 109.79 however 109.65 must first clear above. If the currency price is off kilter or misaligned then all financial instruments are affected as the currency price is the gateway to determines all market prices.

Trading currencies and other financial instruments carries a degree of loss and possible loss of entire investments. Please managed your own risks, stop loss, and margins requirements.

Feed news

Latest Forex Analysis


Latest Forex Analysis

Editors’ Picks

EUR/USD struggles to pull away from multi-week lows, holds near 1.1270

EUR/USD stays deep in the negative territory near 1.1270 during the American trading hours on Tuesday as the greenback continues to outperform its rivals. The data from the US showed that the CB Consumer Confidence Index declined to 113.8 in January from 115.2 in December. 

EUR/USD News

GBP/USD consolidates daily losses near mid-1.3400s

GBP/USD fell to its weakest level in three weeks below 1.3450 on Tuesday and seems to be having a difficult time staging a convincing rebound. Safe-haven flows continue to dominate the financial markets following the mixed data releases from the US.

GBP/USD News

Gold hits levels above $1850 for the first time in two months and retreats

A quick drop in US yields boosted XAU/USD that jumped from $1840 to $1853, reaching the highest level since November 19. It then pulled back all the way to $1840 and now is approaching the $1850 area again.

Gold News

Shiba Inu hits point of max pain, targets $0.000035

A brief technical and on-chain analysis on Shiba Inu price. FXStreet's analysts evaluate why SHIB could have bottomed out. 

Read more

Activision Blizzard dips lower ahead of Microsoft earnings call

Activision Blizzard could see its games thrust into the mainstream spotlight. Microsoft is set to release its FY2022 Q2 earnings on Tuesday after the close.

Read more

Majors

Cryptocurrencies

Signatures