We use a range of cookies to give you the best possible browsing experience. By continuing to use this website, you agree to our use of cookies.
You can learn more about our cookie policy here, or by following the link at the bottom of any page on our site.

Free Trading Guides
EUR/USD
Mixed
Low
High
of clients are net long.
of clients are net short.
Long Short

Note: Low and High figures are for the trading day.

Data provided by
GBP/USD
Bearish
Low
High
of clients are net long.
of clients are net short.
Long Short

Note: Low and High figures are for the trading day.

Data provided by
USD/JPY
Bullish
Gold
Bullish
Oil - US Crude
Bullish
Low
High
of clients are net long.
of clients are net short.
Long Short

Note: Low and High figures are for the trading day.

Data provided by
Bitcoin
Mixed
More View more
Real Time News
  • #Gold prices may suffer if better-than-expected US economic data and progress on US-China trade negotiations cool 2020 Fed rate cuts and alleviate demand for anti-fiat hedges. Get your $XAUUSD market update from @ZabelinDimitri here: https://t.co/3ula2sUpqL $gld https://t.co/2iZwxcm3wP
  • What's the difference between leading and lagging indicators? Find out from @RichardSnowFX here:https://t.co/vGx8HCagF5 https://t.co/KCZ48rDnhy
  • Why financial market traders must monitor both monetary and fiscal policy? Find out from @MartinSEssex here: https://t.co/Fkzk88Y5gm https://t.co/tTXcw1b7Tp
  • RT @dlacalle_IA: ... “Temporary” Fed plans to double repo market intervention to avoid cash crunch https://t.co/j6N3Qmo6HX
  • RT @HeathaT: The @USTradeRep "fact sheet" on the US-China deal is pretty light on details, but if you're looking for something written down…
  • The inside bar pattern occurs regularly within the financial markets. Incorporating the inside bar strategy within a trading system can enhance a trader’s market analysis technique. Find out how you can use it from @WVenketas here: https://t.co/E3EWOYTYNw https://t.co/1H5UASpHb7
  • What is the best time to trade #forex? Find out: https://t.co/M9R46rmPUK #tradingstyle https://t.co/k6z9p9v4nY
  • The bear flag pattern is a popular price pattern used by technical traders within the financial markets to determine trend continuations. How can you trade a bearish flag pattern? Find out here: https://t.co/HfXdjTWdEi @WVenketas https://t.co/qV7J1mhGBi
  • Macro data from around the world have long attested to the urgent need for a trade settlement between the US and China. Increasingly the corporate numbers are saying the same. Get your market update from @DavidCottleFX here:https://t.co/Qon7QUO80c https://t.co/L1it36hFzw
  • RT @TaviCosta: The labor market has started to crack. ADP report leads annual change in unemployment rate with a 0.9 correlation. Equity…
EUR/USD Breakdown, GBP/CAD, USD/CAD Breakouts Eyed this Week

EUR/USD Breakdown, GBP/CAD, USD/CAD Breakouts Eyed this Week

2014-07-21 11:00:00
Christopher Vecchio, CFA, Sr. Currency Strategist
Share:

Talking Points:

- EURUSD below July 2012-July 2013 TL, needs below 1.3475.

- GBPCAD and USDCAD still both point to breakouts higher.

- Reminder that July forex seasonals in QE era work against USD.

It's admittedly another quiet start to the trading week, with fewer than ten economic data releases (including central banker speeches) on the calendar for Monday, July 21. Nevertheless, with geopolitical tensions brimming in Eastern Europe and the Middle East, now's not the time to stay away from the trading screen.

Rather, the low frequency of economic data combined with the high intensity of emotional news headlines crossing the wires makes for trading conditions better suited for technical traders as timing and precision increase in importance.

One overarching theme removed from the crisis gauntlet, renewed Euro depreciation, has a chance at influencing prices this week so long as focus continues to shift to the weak inflation, weak growth environment. It is within this context that we continue to eye EURUSD as it tests the ascending trendline from the July 2012 and July 2013 lows.

Additionally to start the week, we continue to monitor the GBP-crosses, but not necessarily for direct impact from the British Pound. Instead, GBPCHF serves our preferred proxy for EURGBP given the relationship between CHF and EUR since September 2011. GBPCAD remains a prime breakout opportunity, especially as USDCAD attempts to base off of major trendline support from the September 2012 and September 2013 lows.

See the video above for the aforementioned technical setups in GBPCAD, GBPCHF, EURUSD, and USDCAD, our four main non-crisis pairs (i.e., the JPY-crosses) that we're monitoring for potential breakout moves over the next several days.

Read more: EUR/USD Falls to Crucial July 2012 Trendline; GBP-crosses Resilient

--- Written by Christopher Vecchio, Currency Analyst

To contact Christopher Vecchio, e-mail cvecchio@dailyfx.com

Follow him on Twitter at @CVecchioFX

To be added to Christopher’s e-mail distribution list, please fill out this form

DailyFX provides forex news and technical analysis on the trends that influence the global currency markets.

DISCLOSURES

News & Analysis at your fingertips.