Weekly Analysis 2nd Nov

The pound/aussie analysis from Thursday developed roughly as expected. The week ended developing a similar but much larger pattern. The same idea is at play here with a new area for our expected lower highs.

Usd/chf

Currently testing a trend line, which we will be observing closely for at least a day.

Aussie/dollar

Bounced from an upper trend line last week around 0.6600 whole number, which lies on the 78 fib. This is a nice area of confluence to look for a retest this week.

Dollar/cad

Tested the highs just under 1.3900 last week. Friday slowed which might be moving toward a lower high off 1.4030. A higher low is necessary before we get involved in any longs here. The deeper the pullback of this higher low the better.

Pound/dollar

Broke through a lower trend line end of last week. Looking for a quick pullback to these lines from underneath for possible shorts riding the continued momentum that could sustain itself into Monday and Tuesday. Upon a deeper pullback, which also seems likely, we have our sights set on 1.3300 and nearby technicals.

Dollar/yen

The interaction with this weekly trend line has the potential to form over multiple weeks. This likely means our only positions will be trading unwinding moves off the trend line. The previous high serves as an example for the kind of movement we might expect this week. We do not expect price to make any long term decision about the future of this pair this week.

Euro/dollar

The recent bearish wave has intrinsic quality given its particular characteristics. It has good volatility, produced off a set of lower high tops (roughly) and moving through 1.1590, a key area supporting bullish momentum. The consolidation that will be produced off this wave is likely going to lead into a decent move one way or the other. It is this consolidation we are waiting for and will monitor for opportunities.

Good Trading.