The two main FX index charts seem to be implying we’re on the cusp of a potentially big move. Both the USD and EUR index charts look poised for major triangle breakouts that could lead to significant ‘Flag’-type moves. The charts of Gold and Silver seem to support this sentiment too and the looming Greek vote may help to either trigger or foil these potential moves. The US$ rallied following comments from Janet Yellen that she is confident US rates will be lifted this year to ensure a gradual rate of increase. She is quoted as saying that not only can the US economy tolerate an increase but that it needs it! Thus, US$ strength was the theme for the US session.
EURX weekly: trading down near the major support from a weekly trend line and the 96 level. Just how this reacts to the Greek vote remains to be seen:
EURX 4hr: watch the trend line and 96 level:
USDX weekly: A bullish breakout looming?
USDX 4hr: rallied after the Yellen comments:
FX Index alignment: the EURX and USDX are back in alignment for currency ‘risk off’. That is, LONG US$ and SHORT EUR. Watch for any follow- through support with Flag breakouts on the index charts.
Silver daily: about to fall off the $15 cliff?
Gold daily: about to fall off the $1,145 cliff?
S&P500 daily: consolidating above the Cloud:
Forex 30 min charts: the following charts show how the US session has enabled some great 30 min trend trading over recent sessions, especially on the GBP based pairs:
GBP/AUD 30 min:
GBP/NZD 30 min:
EUR/NZD 30 min:
A/U 30 min:
Kiwi 30 min:
E/U: this is trading down near a support trend line and any breakdown could signal the start of a major Bear Flag:
E/U 4hr: my earlier TC ‘short’ signal failed here BUT it was correct on the sentiment….bearish!
E/U weekly: a 3,500 pip Bear Flag might be setting up:
U/J 4hr: this is back trading just under the key 124 level. This is a major monthly chart S/R region:
A/U 4hr: lower with the stronger US$:
Cable 4hr: a bit choppy given both US$ and GBP strength:
Kiwi 4hr: hurt by the stronger US$ and dairy auction data:
AUD/NZD monthly: have we seen the full extent of the pull back here?
Loonie daily: this triangle move has given over 450 pips. I had previously suggested I expected a test of the 1.30 level and we’re almost there!
GBP/NZD 4hr: this triangle breakout has gone on to give 500 pips:
GBP/AUD monthly: there has been a move above the monthly 200 EMA here now. A monthly close above this level would support bullish continuation but, possibly, with a test of said level before so: