US$ weakness has continued and has triggered the ‘Risk On’ style moves I had warned about. In spite of fundamentals, and possibly logic, pointing otherwise!
USDX daily: the triangle breakdown continues. Watch for any break below the 92.50 level though as this is the bottom of the recent trading range:
E/U 4hr: this is now up 70 pips. Frustrating for me as I was stopped out here last night:
Cable 4hr: I mentioned this morning that this was trying to trigger a new TC signal and this has evolved. I’m watching for GPB news due out in 30 min:
A/U 4hr: this is trying for a new TC signal here too following the bullish triangle breakout. The RBA Gov, Glen Stevens, must be wondering what more he can do here after all his earlier jawboning!
Kiwi 4hr: even the Kiwi is rallying despite obvious nerves that must lie ahead of tomorrow’s RBNZ Interest Rate announcement:
U/J 4hr: this has been hit hard by earlier BoJ comments and is adding to the USDX woes. A pullback to the 122 level may be the target here as this level is near the 61.8% fib and 4hr 200 EMA:
Loonie daily: I’d given this pair a wide berth of late but there does look to be a triangle break building:
Silver 4hr: watch for any bounce up off $16 support if US$ weakness continues:
Gold 4hr: this is heading to test a recent bear trend line too. Watch for any channel breakout if US$ weakness continues: