Brian Twomey
Brian's Investment
Last month DXY ranges were explained by the 1 and 2 year monthly averages between 97.12 - 92.74, a 438 range. This month the range compressed 7 pips to 431 inside the 1 and 2 year monthly averages between 96.98 -92.67. Total monthly pip ranges in EUR/USD and DXY are expected between a low at 107 - high at 418 and no change since last month. For EUR/USD, maximums are found from 1.1862 - 1.1026 and DXY 97.20 - 88.78. Correlations again run minus 84 % to 98% and no change from last month.
DXY. A break of 92.74 exposes the 3 year average at 88.80 then the 5 year at 85.00. What's driving DXY is moderate overbought longer term 7, 9 and 10 averages at 82.48 and 82.63. Last month, DXY sat comfortably in its ranges. This month, DXY again rests comfortably in its ranges.
Topside range points and sell levels are located from 95.97, 95.88, 95.78, 95.49, 95.14, 94.97 and 94.56.
Bottoms and long points are 93.22, 93.19, 92.27, 91.31, 90.54, 89.98 and 89.91. Most vital points 93.19, 93.22 and 92.27 due to out of bounds at the 1, 2 and 3 year averages.
Most vital long short points and targets for the month, 94.60, 94.49, 93.60, 93.42, 93.02, 92.53 and 92.48. DXY at the 93.02 close, rests perfectly on a vital average point. More downside in DXY relieves moderate overbought pressure. Watch 92.74.
EUR/USD. Mentioned last month sell points, 1.1396, 1.1407, 1.1422 and 1.1487. The level at 1.1422 violated 3 times throughout the month to exclude Friday as first of the month began. What drives EUR/USD is the 2 year average at 1.1754.
Vital sell points must overcome to challenge 1.1754. Those levels begin at 1.1440, 1.1445, 1.1488, 1.1572, 1.1590, 1.1660, 1.1665, 1.1677, and 1.1689. Most important breaks below 1.1246, 1.1221, 1.1215 challenges 1.1036, 1.1026 and 1.1001.
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.
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