This week there are a number of pairs and assets we are keeping a close eye on.
Read about our top three below:
- Momentum continued to the upside and stalled at the February 2019 swing high.
- Seasonally the main summer low is put in place around Mid-June. I would favour a Daily Phase 2 move from this level back into the blue zone. Wait for the Daily 20 EMA to catch up, look for bounce off it before a continuation to the upside.
- This pair hit the target area highlighted in last week’s analysis and is currently consolidating.
- After hitting +7 extreme strength, JPY moved down to three places.
- Look for a Phase 2 move up to the previous celling and daily trendline. June is a very strong month for JPY so any strong selling reaction at this level could see a continuation of the move to the downside. A strong break into the blue zone would shift the bias towards the bulls.
- Price reached the 0.9880 target, briefly moved below, brushed the Monthly S2 Pivot before pulling back.
- Daily currency strength pushed to +6 and we could be seeing a slowdown in momentum for this move as specs fail to buy into long positions again last week. EURCHF also hit a strong support and closed above the Weekly 200 SMA. A push higher for this pair would mean a quick offload of CHF in favour of EUR.
- The Weekly 100 & 200 SMA hover just below and any final push could end at the 0.9790 – 0.9800 level.
- Intraday sell USD.
- Intraday sell JPY. Most charts still in Daily Phase 2’s so keep targets realistic and small.
- Buy EURCHF, EURAUD and EURNZD.
- Sell AUDCAD and NZDCAD.