Odds were in favour of the 1.3750 level to hold on first touch, and it did. A break of this level opens up the broader range to 1.40 level, support levels layered at 1.35, 1.34, 1.33 all the way down to 1.32. Still a very bullish move within a bearish setup. 1.3750 continues to be [...]
Browsing Posts published in January, 2011
As expected, we saw a healthy retracement at the beginning of the week followed by consolidation at highs. Cable bulls have to prove themselves with breakout of the bigger 1.6 – 1.57 range.
EUR/USD continued its bullish move from 1.2850 lows and pushed right through major resistance (50% Fibo) at 1.3570. The move could exhaust anytime, but still has room up to 1.3750 supported by a very bullish daily and weekly candle close. A test of 1.37 followed by a bounce back to 1.35 level is a solid [...]
Cable broke key resistance at 1.5830 and tested it as support to move back to the 1.60 area. 1.5940 will be pivotal for direction. A break below and we could re-test 1.5700 which would be a healthy retracement after the radical move up from 1.5300.
Very bullish week. 1.5940 and 1.6000 lines in the sand for a break further up, but I see better odds for a retracement and re-test of the 1.5820 and 1.5700 area. Interesting to see if bears are able to defend 1.5900, like they did all Friday, for clues on initial directional momentum for the week. [...]
With all that trading in ranges the last few days, I thought its helpful to remind us where we stand. Still very bearish tone. The levels I am looking at are on the chart.
