AUDUSD - 2-Oct-2013

The price has pulled back and reversed at 38% of recent rally. The price is looking good to reach 127% extension of recent rally and 50% retracement of decline from April high. If this is hit, it could, very well, form ABCD pattern. Watch out for coming days

Daily Chart

EURUSD - 10/9/2013

The price appears to be bullish, however, the current price is to far way to afford the stop-loss at yesterday's low. You will need to wait for considerable pullback to make an entry into the trade.

Daily chart

USDJPY - Date 28-7-2013

One way to easily identify a market increasing in volatility is 5 day ATR > 20 day ATR. USDJPY is increasing in volatility.

 FOREXAnalysis: The USDJPY traded into the bottom of 3 week consolidation this week. Volatility is increasing but remains relatively low. Strength from the current level would present an opportunity to participate on the short side for a larger decline. Thursday’s late day spike low is resistance along with Friday’s post Tokyo consolidation at 98.80/90. Also, watch the underside of the broken channel (in red) for resistance.

FOREX Trading Strategy: Looking for a high into 98.80/90. 97.50 and 96.40 are estimated supports with 95.40 as ultimately the strongest support and a final target. 

 

4Hour

USDJPY - Date: 1/7/2013

USDJPY - Date: 1/7/2013

The weekly chart paints a very bullish bias due to following factors.
1. Strong uptrend
2. Correction ended at
        a.  T1 (previous resistance),
        b. 38% retracement
        c. Bullish reversal candlestick pattern

To trade,  targets are as follows.
Target 1 : 103  - T3
Target 2 : 110 - T4

USDJPY Weekly chart

Digging deeper into 4hr chart, the price has broken out of consolidation and resumed the move to the upside.

USDJPY 4hr chart

GBPUSD - Analysis

The price has broken heavy daily support. This looks to be a heavy fall. However, we cannot go short at current level. I will wait the price bounces back to previous support at 1.5330 and shows reversal at that level on daily chart.

GBPUSD Daily chart

EURUSD Analysis

The daily trend has, seems to be, resumed down trend (daily chart). The price might be heading back towards 1.2700.

EURUSD Daily Chart

I will look to go short cautiously at 1.3050 against 1.2175.

EURUSD 1hr Chart

EURUSD - Analysis

Date: 6 Jan 2013

FOREX Observation: The EURUSD completed an inverse head and shoulders pattern in early December that had been forming (bottom of left shoulder) since the second week of 2012. Here we are exactly one year later and it is possible that the first big move of 2013 is higher as per the completed pattern. Price is testing the neckline as support now but the classical pattern is considered valid as long as price is above the breakout bar low of 12875. Objectives to think about include where the rally from the 2011 low would consist of 2 equal waves, at 13787 and the traditional h&s objective of about 14260.

FOREX Trading Implication: Focus for now is on initiating a core long. I wrote last night that I was looking to go long on an NFP washout in the mid-12900s. We dipped slightly under 13000 before drifting higher to end the day though. A slight new low can’t be ruled out, especially considering the 3 wave advance from today’s low. A Monday low would be most desirable when one considers weekly seasonality. Speaking of seasonality, failure to put in a low by Tuesday would leave the EURUSD vulnerable on a monthly seasonality basis (high is first day of the month). Bottom line; I’m looking to buy a drop below Friday’s low, probably between 12950/85 on Monday.

EU Weekly chart

EU Daily chart