After 10days of a continuous battle for this pair, we have now broken another level of major support of 1.35000 with the price now declining further to the downside. Currently trading at 1.34160, since the market has opened we are already 40+ pips to the downside with no signs of stopping. Technically there is a daily support 30-40pips away from the current price that could be its first test, however, the daily time frame is showing heavy sell off momentum. Tomorrow we have GBP inflation reporting that will be the next important fundamental announcement to effect this pair.
Friday we witnessed a major move to the upside, as we went from 1.28000 to again test the 1.29000 waters. In the past, the 1.29000 has held as strong resistance with many rejections, but with Friday's daily candle close looking very bullish there is a high chance this pair could be entering a long bias for this week ahead. The next piece of news to effect this pair is Wednesday with USD FOMC meetings, recently the US dollar has been gaining strength across the board, let's see if that continues.
USDJPY:- Last week we saw another bullish week on this pair as we broke through the daily trend line. On Friday price printed a Doji candlestick which suggested price may be stalling and this week I would be looking for a confirmation of this. However, only a few hours in the to a new week and we are already trading 50 pips higher of the Friday close as the market also gaped higher upon the market open.
This pair is currently showing no signs of stopping or slowing down as we keep pushing higher and higher, supported by the dynamic area of support from the MA's. Now we have broken through the daily trend line we look set to make an attack on the Weekly trend line and to test resistance levels in the 112.00 - 112.50 region. Before looking at taking short on this pair we would need some strong bearish action to even consider a change of direction today.
NZDUSD:- Last weeks candle stick suggest we may be coming to the end of this bearish run as we pushed through 0.6900 but the price then pulled back and printed a "Pin bar" candlestick closing above the key support level and showing rejection from this area. On the 4 hourMAT chart last week I posted a possible long set up if the 61.8 % support should hold which did, then we had a 40-50 pip push higher. However, we are now pushing lower once more and we need to be wary of the weakness on this pair. Should we break my counter trend line as shown on my chart then the trade would no longer be valid and we would be looking at coming lower to levels explained in the member's area? Should the counter trendline support hold then we may use this as a catalyst to push higher a break away from the 0.9600 regions.
AUDUSD:- remains consolidated within a triangular formation that can be used to await a breakout of either direction to find an execution and directional bias. A break to the upside would lead towards weekly resistance 0.75750 and beyond to 0.76500. A break to the downside would see a retest of monthly support 0.7400
EURJPY:- Having rejected on Friday the zone of 131.000 and formed a bearish daily candle we could expect a retest of 130.800 and then a further decline in price
AUDJPY:- currently sits around 83.500 this zone has previously acted as a strong sell-off zone on multiple occasions and therefore I will be looking for price action to indicate a new leg to the downside is imminent
EURUSD: Huge weekly bearish closure leads the pair into new territory with 1.1725 being the next point of call. Once this support is met, the pair may rebound 80 - 100 PIPS back to the upside with 1.1840 being the resistanc to watch out for. After a slight pullback I am looking for EUR to go further short with the levels of 1.1640 in mind.
GBPAUD: The pair did not move to the upside to create a lower swing high as anticipated, however.. did manage to break major support - 1.8000 and is now well on the way to 1.7750. The daily timeframe is creating lower swing highs and bearish reversal lows which further indicated momentum is bearish and further down we go.
GBPJPY: Lots of consolidation between 147.50 & 149.00, however price looks as if it could start to climb through the blue daily resistance zone and reach 150.00 resistance. For the next few days I see price accelerating to the upside until this barrier is reached.