FX: today’s key word is ‘Consolidation’! by Mary McNamara

There hasn’t been a lot of movement on many FX pairs and many are consolidating within technical patterns and or near key S/R levels and I suspect that this might remain the case until after Thursday’s ECB news. The USDX continues to trade along the 92.50 level but the EURX is putting in a bit of a bounce off major Fibonacci support.

USDX 4hr: still hovering near 92.50 S/R:

USDX4

EURX daily: putting in a bounce off the 78.6% fib:

EURXdaily

EURX monthly: I’m still open to a possible bullish ‘inverse H&S’ here:

EURXmonthly

FTSE: European stocks are still trading higher on thoughts of stimulus that might come from Thursday’s ECB meeting. I’ll be watching to see whether this news might get the FTSE  index up heading up towards 7,000 resistance or back down to trend line support:

FTSEmonthly

TC Signals:

E/U: this was a signal that I missed as it came off an evening candle for me after SNB. It is pulling back ahead of ECB and I would not be surprised to see it at least test 1.18 again. The TC signal has now closed off but did give up to 200 pips:

EU4

E/U monthly: Watch out as any failure to close below 1.18 for the month could signal a base might be in the process of being carved out and it could be the start of a well earned, technically speaking at least, pullback. Of course, the E/U might just be pulling back to test the broken 1.18 trend line before continuing on for a possible 4,000 pip triangle breakout! Much will depend on Thursday’s ECB news:

EUmonthly

Gold: this TC signal came with a break of the ‘neck line’ of the bullish inverse H&S and is up 300 pips. I had been stalking this breakout move prior to the SNB intervention but it sure got this breakout move happening. I was a bit late to this move but I am long here:

Gold4hr

Other Forex: watch for CNY GDP during the Asian session and the EUR German Economic sentiment and CAD Manufacturing sales during the EUR and US sessions.

E/J: still hovering near major 136 support. Check my w/e analysis for notes about the importance of this region:

EJ4

A/U: consolidating within a triangle so watch for any breakout move, especially with Chinese GDP. Still above the key 0.82 though!

AU4

A/J: also consolidating in a triangle and still above 96 support:

AJ4

Kiwi daily: consolidating here still too. Within a 3 month trading channel:

KiwiDaily

U/J: this, too, is consolidating within a daily chart triangle. Note the weekly chart though and you’ll see that this pair has a degree in triangles!

U/J daily: watch for a trend line break with momentum. Note how it seems there might be room within this triangle to progress further and allow for next week’s FOMC to be factored in before any possible breakout:

UJdaily

U/J weekly: triangle upon triangle upon triangle!

UJweekly

 G/J 4hr: near key S/R of 179. Check my w/e analysis for notes on this level.

GJ4hr

Loonie: pulling back from 1.20 S/R:

Loonie4hr

EUR/GBP: this is pulling back to the key 0.77 level. Watch out as any failure to close below 0.77 for the month could signal a base and a pullback. Of course, this could be just pulling back to test the broken 0.77 before continuing on for a 2,000 pip triangle breakout. Much will depend on Thursday’s ECB news:

E/G 4hr:

EG4hr

E/G monthly:

EGmonthly

Silver 4hr: I didn’t get a new TC signal here as price has chopped around above the broken bear trend line. No surprises here though as this was a major trend line and this price action following a major break is to be expected:

Silver4hr

 

Silver weekly: showing the trend line break:

SilverWeekly

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