EUR/USD. Inching below the thin Ichimoku ‘cloud’ by moving sideways across the page and too many appear confident that first support at the 1.5400 area will hold. We feel this is likely to break and our downside target will probably be 1.5100, but a cautious approach is warranted.
Strategy:Attempt tiny shorts at 1.5490 but be prepared to add to 1.5600; stop above 1.5700. Short term target 1.5400/1.5360.
Strategy:Attempt tiny shorts at 1.5490 but be prepared to add to 1.5600; stop above 1.5700. Short term target 1.5400/1.5360.
Chart Levels:
| Support | Resistance |
| 1.5462/1.5441 | 1.5566 |
| 1.5410/1.5400* | 1.5587 |
| 1.5360** | 1.5629 |
| 1.5340 | 1.5655 |
| 1.5285* | 1.5740 |
USD/JPY.Expect more messy sideways work today, roughly between 106.50 and 107.50. Chart patterns are totally inconclusive and chart levels poor. Note that futures positions, approaching delivery, are close to their lowest in three years.
Strategy:Do as little as possible. For those who have to: possibly attempt tiny shorts at 107.25, adding to 107.50; stop above 107.90. Short term target 106.50, then 106.00.
Strategy:Do as little as possible. For those who have to: possibly attempt tiny shorts at 107.25, adding to 107.50; stop above 107.90. Short term target 106.50, then 106.00.
Chart Levels:
| Support | Resistance |
| 106.79 | 107.45 |
| 106.56/106.40* | 107.76* |
| 106.00 | 107.90 |
| 105.65 | 108.35* |
| 105.00 | 108.70* |
GBP/USD. Too exhausting for many as we continue to thrash around the lower levels of the last three months. Expect more of the same today including a ‘spike’ below 1.9400 some time(s) this month.
Strategy:Possibly attempt tiny longs at 1.9560; stop well below 1.9500. Short term target 1.9725
Strategy:Possibly attempt tiny longs at 1.9560; stop well below 1.9500. Short term target 1.9725
Chart Levels:
| Support | Resistance |
| 1.9520 | 1.9610 |
| 1.9465/1.9450** | 1.9635 |
| 1.9400 | 1.9700 |
| 1.9360* | 1.9750 |
| 1.9337* | 1.9800* |
EUR/JPYTrading at some of the highest ever levels and no signs of topping yet. If anything price action over the last five days is a small ‘pennant’ hinting at another serious upside test. We are very unsure as to our current outlook and therefore suggest one does as little as possible again today and we continue to watch for topping activity.
Strategy:Possibly attempt tiny shorts at 166.00; stop above 167.25. Short term target 165.50, then 165.00
Strategy:Possibly attempt tiny shorts at 166.00; stop above 167.25. Short term target 165.50, then 165.00
Chart Levels:
| Support | Resistance |
| 165.89 | 166.70 |
| 165.67 | 167.00 |
| 165.50 | 167.15* |
| 164.97* | 167.50 |
| 164.50 | 167.73* |
Disclaimer:
The information contained in this paper is based on or derived from information generally available to the public from sources believed to be reliable. No representation or warranty is made or implied that it is accurate or complete. Any opinions expressed in this paper are subject to change without notice. This paper has been prepared solely for information purposes and if so decided, for private circulation and does not constitute any solicitation to buy or sell any instrument, or to engage in any trading strategy.
Charts provided by Reuters.
Produced by London Branch - Nicole Elliott
The information contained in this paper is based on or derived from information generally available to the public from sources believed to be reliable. No representation or warranty is made or implied that it is accurate or complete. Any opinions expressed in this paper are subject to change without notice. This paper has been prepared solely for information purposes and if so decided, for private circulation and does not constitute any solicitation to buy or sell any instrument, or to engage in any trading strategy.
Charts provided by Reuters.
Produced by London Branch - Nicole Elliott
