EURUSD
Comment: The strongest weekly close since September 2008, above the 61% Fibonacci retracement, should keep current levels of bullish momentum while allowing the overbought Euro to sort itself out. Allow for consolidation today but be aware that thin markets could drive moves beyond chart levels.
Strategy: Buy at 1.4665; stop below 1.4500. Add to longs on a break above 1.4775 for 1.5000 medium term and more long term.
Direction of Trade: →
Chart Levels:
| Support | Resistance |
| 1.4661 " | 1.4713 |
| 1.4642 | 1.4737 |
| 1.46 | 1.4768* |
| 1.4561 | 1.4825 |
| 1.4500* | 1.49 |
GBPUSD
Comment: Sterling losing ground against all major currencies and on the Bank of England's Trade Weighted Index drops to 80.10. Cable precariously poised and likely to form some sort of 'spike low' in thin conditions.
Strategy: Stand aside if possible. For those who have to: attempt tiny longs at 1.6175; stop below 1.6100. First target 1.6400.
Direction of Trade: →
Chart Levels:
| Support | Resistance |
| 1.6175 " | 1.6265 |
| 1.6100* | 1.635 |
| 1.6 | 1.6454 |
| 1.5983 | 1.65 |
| 1.5800* | 1.6664 |
USDJPY
Comment: A three-day public holiday in Japan, and Eid al-Fitr in many others, means thin conditions in Asia so far today have allowed the US dollar to squeeze higher than last week's high (92.01 so far today). The US dollar is no longer oversold and we expect the move to stall around current levels for a re-test of the downside before the end of the month.
Strategy: Possibly attempt small shorts at 91.90; stop well above 92.26. Short term target 91.50, then 90.50 and probably a sudden push to 87.10
Direction of Trade: →
Chart Levels:
| Support | Resistance |
| 91.50 " | 92.01 |
| 91.31 | 92.26 |
| 90.98 | 92.6 |
| 90.78 | 93 |
| 90.50* | 93.3 |
EURJPY
Comment: Thin markets have allowed Yen crosses to squeeze just above last week's highs and for EUR/JPY through the upper edge of the daily Ichimoku 'cloud'. Hopefully the latest bounce will stall imminently and we shall drift back down to the bottom of the 'cloud'.
Strategy: Possibly attempt small shorts at 134.85; stop above 135.25. Add to shorts below 134.00 for 132.80 and then 131.00.
Direction of Trade: →
Chart Levels:
| Support | Resistance |
| 134.20 " | 134.97 |
| 133.44 | 135.02 |
| 133 | 135.5 |
| 132.8 | 136.09* |
| 131.00* | 136.9 |
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