Talking Points
Get real time volume on your charts for free. Click HERE
Foreign Exchange Price & Time at a Glance:
Price & Time Analysis: EUR/USD
ChartPrepared by Kristian Kerr
- EUR/USD continues to consolidate above minor Gann support at 1.1040
- Our near-term trend bias is lower in EUR/USD while below 1.1240
- Below 1.1040 a key downside attraction remains this week’s low near 1.0950
- A turn window of some importance is eyed early next week
- A close back over 1.1240 would turn us positive on rate
EUR/USD Strategy: Like the short side while below 1.1240
| Instrument | Support 2 | Support 1 | Spot | Resistance 1 | Resistance 2 |
|---|---|---|---|---|---|
| EUR/USD | *1.0950 | 1.1040 | 1.1105 | 1.1175 | *1.1240 |
Price & Time Analysis: GBP/USD
ChartPrepared by Kristian Kerr
- GBP/USD has come under steady pressure since failing at the 50% retracement of the 2014-2015 decline at 1.5875 last month
- Our near-term trend bias is lower pound while below 1.5790
- Minor Gann support is seen around 1.5560 ahead of a major downside attraction at 1.5460
- A minor turn window is seen on Monday
- A daily close back above 1.5790 would turn us positive again on GBP/USD
GBP/USD Strategy: Looking to sell on strength against 1.5790.
| Instrument | Support 2 | Support 1 | Spot | Resistance 1 | Resistance 2 |
|---|---|---|---|---|---|
| GBP/USD | *1.5460 | 1.5560 | 1.5625 | 1.5675 | *1.5790 |
Focus Chart of the Day: AUD/USD
AUD/USD fell sharply lower overnight on the back of weaker than expected Australian retail sales and Chinese services PMI. Market focus is now squarely on the year-to-date low around 0.7530 as a clear move below there will trigger a broader bearish continuation pattern and set the stage for a potentially much more important decline towards the 2009 low around 0.7270. Interestingly it is worth pointing out that the price action over the past few weeks looks to be a fairly clear fractal of the action over the last few months. Some caution is obviously warranted around current levels as it has proven to be formidable support of late. However, only a move back over .7735 would undermine the current negative technical structure and raise concerns of further range trade.
To receive Kristian’s analysis directly via email, please SIGN UP HERE.
--- Written by Kristian Kerr, Senior Currency Strategist for DailyFX.com
This publication attempts to further explore the concept that mass movements of human psychology, as represented by the financial markets, are subject to the mathematical laws of nature and through the use of various geometric, arithmetic, statistical and cyclical techniques a better understanding of markets and their corresponding movements can be achieved.
To contact Kristian, e-mail instructor@dailyfx.com. Follow me on Twitter @KKerrFX
