Range Low In The Euro?
Dailyfx | May 27, 2014 10:52AM ET
- Just a squeeze or something more in USD/JPY?
- USD/CAD turns down from key Gann level
- EUR/USD still flirting with 200-day moving average
Charts Created using Marketscope – Prepared by Kristian Kerr
- USD/JPY has rebounded aggressively over the past few days from just above the year-to-date low at 100.75
- Our near-term trend bias is lower in exchange rate while below 102.80
- A daily close under 101.35 is needed to signal an important downside resumption
- An important cycle turn window is eyed around the end of the month/start of June
- Traction over Gann resistance at 102.80 would shift the near-term trend bias to positive in USD/JPY
USD/JPY Strategy: Like the short side while below 102.80.
|
Instrument |
Get The News You Want
Read market moving news with a personalized feed of stocks you care about.
Get The App
Support 2 |
Support 1 |
Spot |
Resistance 1 |
Resistance 2 |
|
USD/JPY |
*100.75 |
*101.35 |
101.90 |
102.15 |
*102.80 |
Charts Created using Marketscope – Prepared by Kristian Kerr
- USD/CAD has come under steady downside pressure over the past few days after failing last week to close over the 1st square root relationship of the year’s low at 1.0915
- Our near-term trend bias is lower in Funds while under 1.0915
- The 1.0790 area is a key downside pivot with weakness below this level needed to signal that a more important decline is underway
- A minor cycle turn window is eyed mid-week
- A daily close over 1.0915 would shift focus higher
USD/CAD Strategy: Like the short side while below 1.0915.
|
Instrument |
Get The News You Want
Read market moving news with a personalized feed of stocks you care about.
Get The App
Support 2 |
Support 1 |
Spot |
Resistance 1 |
Resistance 2 |
|
USD/CAD |
1.0740 |
*1.0790 |
1.0840 |
1.0855 |
*1.0915 |
EUR/USD has been in a steady downtrend since peaking at the 11th square root relationship of the 2013 low near 1.4000 earlier this month. Friday’s close below the 1.3640 3rd square root relationship of the year-to-date high keeps our focus lower in the exchange rate, but caution is required heading into next week as a variety of short and medium-term cycles will be converging around this time and at least a minor reversal looks possible (probably before the ECB meets). The bottom of the 1-year standard deviation channel comes into play around 1.3560 while the 4th square root relationship of the year’s high is at 1.3620 making this an ideal zone for a potential turnaround. A move back through the Gann and Fibonacci resistance at 1.3755 would warn that the rate has bottomed ahead of schedule.
--- Written by Kristian Kerr, Senior Currency Strategist for DailyFX.com
/h2
Trading in financial instruments and/or cryptocurrencies involves high risks including the risk of losing some, or all, of your investment amount, and may not be suitable for all investors. Prices of cryptocurrencies are extremely volatile and may be affected by external factors such as financial, regulatory or political events. Trading on margin increases the financial risks.
Before deciding to trade in financial instrument or cryptocurrencies you should be fully informed of the risks and costs associated with trading the financial markets, carefully consider your investment objectives, level of experience, and risk appetite, and seek professional advice where needed.
Fusion Media would like to remind you that the data contained in this website is not necessarily real-time nor accurate. The data and prices on the website are not necessarily provided by any market or exchange, but may be provided by market makers, and so prices may not be accurate and may differ from the actual price at any given market, meaning prices are indicative and not appropriate for trading purposes. Fusion Media and any provider of the data contained in this website will not accept liability for any loss or damage as a result of your trading, or your reliance on the information contained within this website.
It is prohibited to use, store, reproduce, display, modify, transmit or distribute the data contained in this website without the explicit prior written permission of Fusion Media and/or the data provider. All intellectual property rights are reserved by the providers and/or the exchange providing the data contained in this website.
Fusion Media may be compensated by the advertisers that appear on the website, based on your interaction with the advertisements or advertisers.