US$ weakness helps EUR pairs.

I’d noted yesterday that the FX Indices were aligned for USD weakness and EUR strength and this has played out across many FX pairs.The US$ Index has broken back below a 3-year support trend line but a decisive weekly close below this level needs to be seen to shift bias on many FX pairs.

USDX weekly: watch for any decisive weekly close below this trend line to support a different dialogue on FX trends. 

USDXweekly

USDX daily: a fairly convincing daily close below support:

USDXdaily

Trend line breakout trades:

EUR/USD: this breakout trade is now up to over 210 pips. The daily chart shows the 61.8% fib near 1.113 so watch for any new make or break activity here. The longer-term target for this bullish move though is near previous S/R of 1.15! Technical breakout theory would suggest that this daily chart trend line could be tested before any further continuation so watch for any test of this near the 1.10 region:

E/U 4hr:

EU4

E/U daily:

EUdaily

E/U 15 min: the new TC signal with this trend line breakout triggered last Friday whilst I was away and has not closed off. It is now up to 220 pips:

eu15

EUR/JPY 4hr: now up to 150:

EJ4

EUR/AUD 4hr: a new breakout here that has given 120 pips. Note how the 15 min chart gave a new TC LONG signal that gave 100 pips (initial and after shots taken):

E/A 4hr:

EA4

E/A 15 min: initial:

EA15

E/A 15 min after:

EA15min2

EUR/NZD 4hr: a new breakout here that has given 140 pips. Note how the 15 min chart gave a new TC LONG signal that gave 100 pips (initial and after shots taken):

EN4hr

E/N 15 min initial:

EN15min

E/N 15 min after:

EN15min2

USD/MXN 4hr: this move peaked at 1000 pips and note the new consolidation pattern here:

USDMXN4hr USDMXN4hr2

USD/TRY 4hr: this move is up to 300 pips:

USDTRY4hr

USD/CNH 4hr:

USDCNH4hr

FTSE: this breakout move has given up to 230 points but watch for any pullback to test the 7,450 ‘Double Top’ level:

FTSE 4hr:

FTSE4hr

FTSE daily:

FTSE

Other Forex: I mentioned yesterday that cross pairs could be choppy if US$ weakness dominates and that has been the case for many of them, albeit not the EUR pairs. Watch also to see if the commodity currencies (AUD/USD, NZD/USD and USD/CAD) join the party if this theme continues. 

AUD/USD 4hr: watch the wedge trend lines for any breakout activity:

AU4

AUD/JPY 4hr: watch the triangle trend lines for any breakout activity:

AJ4

NZD/USD 4hr: watch the wedge trend lines for any breakout activity:

Kiwi4

GBP/USD 4hr: watch the triangle trend lines and 1.30 level for any breakout activity:

GU4

USD/JPY 4hr: watch the channel trend lines for any breakout activity:UJ4

GBP/JPY 4hr: watch the triangle trend lines and 147 level for any breakout activity:

GJ4hr

USD/CAD 4hr: not keen on this pair:

Loonie4hr

GBP/AUD 4hr: watch the triangle trend lines and 1.75 level for any breakout activity:

GA4

GBP/NZD 4hr: watch the triangle trend lines and 1.90 level for any breakout activity:

GN4hr

USD/ZAR: weakness continues here and note how the first valid TC signal on the 15 min chart gave a decent TC SHORT signal for 650 pips:

USD/ZAR daily:

USDZARdaily

USD/ZAR 15 min:

USDZAR15min

Gold 4hr: watch for any recovery here if US$ weakness continues:

Gold4hr

Silver daily: ditto:

SilverDaily