5th June 2014
EURUSD
Summary
Wednesday EURUSD traded lower as the price action rejected the 8 period daily moving averages.
Market overview
The recent price action and the breach of the 1.3764 level being the swing low of the 30th April has changed the daily trend to down. However the weekly trend continues to be positive.
More recently we have seen an extended move lower that has traded beneath multiple prior pivot levels. The next major price target being 1.3476 being the 3rd February swing low.
Focus on today
This morning EURUSD has opened quietly as the price action trades within Wednesday’s candle range.
I am this morning monitoring the price actions for a potential test of the 1.3550 support level.
Alternatively if EURUSD fails to sustain lower prices there is a possibility we see the price action trade back up to the 1.3670 level.
GBPUSD
Summary
Wednesday GBPUSD again tested the 8 period daily moving averages however the price action was not able to sustain the move higher and ny the close of business finished the day marginally higher.
Market overview
GBPUSD continues to trade in a daily and weekly uptrend with the price action having recently broken a large converging triangle. However the recent move lower has seen the price action trade under the 1.6731 level being the minor pivot low of the 15th May. This move lower does put a question mark on the health of the daily up trend.
From a weekly perspective the price action is now trading under the 8 period weekly moving averages with our next technical support level being the 34 period weekly moving averages which come in at the 1.6485 level. As the both daily and weekly trends remain positive I am monitoring the price action at this potential value area where longs can be added.
Focus on today
This morning GBPUSD has opened quietly as the price action trades within Wednesday’s candle range.
I am today monitoring the price action for a test of the 1.6700 support level.
Alternatively if GBPUSD cannot sustain lower prices could see the price action test the 1.6795 level.
USDJPY
Summary
Wednesday USDJPY continued to trade higher as the price action closed above the 102.14 level being the minor swing high of the 27th May.
Market overview
The breach of the 101.32 level being the swing low of the 11th April has effectively changed the daily trend to down. However the weekly trend continues to trade within an uptrend. I am now monitoring the price action for signs of a continuation under the 101.32. A failure to sustain a move beneath this level would put forward the possibility that the breach of the 101.32 level was a fake break down which could lead to further a resumption of the prior uptrend.
More recently yesterday’s price action has traded above the 102.14 level being the minor swing high of the 27th May. This adds further impetus to the long side of the trade.
Focus on today
This morning USDJPY has opened negatively as the price action trades with Wednesday’s candle ranges.
Today I am monitoring USDJPY for a test of the 103.00 level.
Alternatively a failure to sustain higher prices could see USDJPY test the 101.70 support level.
USDCHF
Summary
Wednesday USDCHF continues to trade around the 8 period daily moving averages.
Market overview
The recent price action and the breach of the 0.8862 level being the 22nd April prior swing high has changed the daily trend to up. However the weekly price action continues trend in a downward direction. USDCHF is now moving within the Fibonacci resistance area. This Fibonacci zone could possibly be viewed as a value area where shorts could potentially be added.
Focus on today
This morning USDCHF has opened quietly as it trades within Wednesday’s candle ranges.
Today I am monitoring the price action to see if USDCHF can potentially trade higher within the Fibonacci area and test the 0.9020 resistance level.
Alternatively a failure to sustain higher prices could see USDCHF move into the direction of the 34 period daily moving averages.
Gold
Summary
Wednesday Gold experience a quiet day at the price action traded within the previous 3 days ranges.
Market overview
The breach of the 1277 level being the 1st April low has technically changed the daily trend to down. This puts the daily trend in gear with the weekly down trend. The breach of the 1270.00 support level has confirmed the daily down trend.
Focus on today
This morning Gold has open quietly as the price action trades within Wednesday’s candle ranges.
Today I am monitoring the price action for Gold to continue its move under the under the 1250.00 support level and test yesterdays lows.
Alternatively a failure to sustain lower prices could see Gold trade back up to the averages.
USDCAD
Summary
Wednesday USDCAD traded higher as the price action tested the 1.0940 resistance and closed above the 34 period daily moving averages.
Market overview
USDCAD is trading in a daily down trend however the weekly uptrend continues to trade positively. A breach of the 1.0813 being the 8th May swing low would confirm that the daily down trend is intact.
However the recent price action has seen a double bottom form. This pattern has been confirmed with USDCAD trading higher.
Focus on today
This morning USDCAD has opened bullishly as the price action trades at the highs Wednesday’s candle range.
I am this morning monitoring the price action for a potential move into the direction of the 1.0940 resistance level.
Alternatively if the price action fails to sustain higher prices there is a possibility that USDCAD retest the 1.0790 support level.
AUDUSD
Summary
Wednesday AUDUSD continued to trade between the averages and the converging triangle formation.
Market overview
AUDUSD has been trading in a daily uptrend following the breach of the 0.9080 level being the swing high of the 18th February. However the weekly chart continues to trade in a down trend with the price action now correcting lower following a rejection of the Fibonacci resistance area.
The downside break opened up the possibility of a breach of the 0.9200 level being the 2nd May swing low. A breach of this level will technically change the daily trend to down.
The recent prior price action has had the effect of creating a bullish consolidation pattern at the highs of this daily up trend.
Focus on today
This morning AUDUSD has opened quietly as the price trades within Wednesday’s candle ranges.
I am this morning monitoring the price action for a potential a re-test of the 34 period daily moving averages.
Alternatively if AUDUSD fails to sustain higher prices there is a possibility that AUDUSD tests the 0.9200 level being the 2nd May swing low.
Oil
Summary
Wednesday Oil tested the 8 period daily moving averages but was unable to sustain higher prices and by the end of business closed the day lower.
Market overview
Oil continues to trade in a daily uptrend following the breach of the 100.72 level being the swing high of the 24th December. The daily and weekly times both have a positive bias.
The recent price action has seen OILUSD trade with a very large converging triangle formation.
Focus on today
This morning Oil has opened quietly as the price action trades at the lows of Wednesday’s candle range.
Today I am monitoring the price action for a test of the 8 period daily moving averages and 103.00 levels.
Alternatively a failure to sustain higher prices could see Oil trade test to the 34 period daily moving averages.