I mentioned last weekend that the FX Indices had slipped back into alignment for ‘risk on‘ and to watch for any follow-through activity with respective pairs. Since that warning about US$ weakness there has been a 300 pip rally with Gold, 200 pips with Oil, 130 pips with EUR/USD, 85 pips just recently with the Cable and even the Aussie has joined the party! The FX Index Flags look to have triggered so watch for any more of the same in coming sessions.
NB: I’m heading off today for a week so further updates will be few but I couldn’t let this FX pip update pass without comment.
USDX weekly: this Bear Flag has now broken out so watch for any follow through:
EURX weekly: this Bull Flag has now broken out so watch for any follow through:
Trend line breakouts and TC signals:
Gold: this trend line breakout is now up 470 pips but 300 have come this week. There was yet another great TC signal here last session for 3 R:
Gold 15 min:120 pips and 3R:
EUR/USD: this has broken out for 130 pips and gave an ok TC signal last session:
EUR/USD 15 min:
GBP/USD 4hr: a new breakout for 80 pips:
Oil 4hr: the breakout for this week is now at 200 pips:
EUR/JPY 4hr: the other major point to note is that the EUR/JPY looks likely to finish the year above the major 135 level! See yesterday’s post for the other E/J charts showing this key level: