From the weekly on Sunday: EUR/USD broke 0.9993 and first target at 1.0057 achieved destination, USD/JPY from 147.64 completed target at 148.40. DXY broke below 111.25 and traded to 109.00’s. DXY from Sunday struggled and dropped from 112.00’s.
DXY’s break below 111.25 allowed EUR/USD and GBP/USD to break above most vital levels at 0.9993 and 1.1572. EUR/CHF and GBP/CHF assisted EUR/USD and GBP/USD higher by breaks above EUR/CHF 0.9842 and GBP/CHF 1.1381.
AUD/USD and NZD/USD failed to break above vital 0.6578 and NZD/USD 0.5913 to join EUR/USD and GBP/USD. AUD/USD and NZD/USD must break above vital levels, or EUR/USD and GBP/USD must drop to maintain uniformity.
EUR/USD levels for today: 1.0072, 1.0078, 1.0084, 1.0091, 1.0104, 1.0110, 1.0117 Vs 1.0015, 1.0021, 1.0027, 1.0040, 1.0050, 1.0053.
Most Vital 1.0015 and 1.0040 Vs. 1.0091 and 1.0117.
EUR/USD VS DXY
EUR/USD for next week must break 1.0005 and another line around 0.9950 to target again 0.9700’s. The next target above is 1.0171. DXY maintains a big break at low 111.00s to target 113.00s. DXY traded 302 pips this week to EUR/USD 297. EUR/USD maintains perfect paces to DXY as DXY drives all markets.
EUR/USD strategy is short and long DXY and USD currencies. Overall, DXY is oversold and targets low 111.00s or 200-ish pips higher, and this takes EUR/USD to 0.9800s if 0.9950’s breaks below.
USD/CAD trades oversold and just above a big break for lower at 1.3423. Oversold USD/JPY maintains a range from 144.41 to 145.93. Above targets again 148.98. Watch USD/CHF at 0.9844.
JPY Cross Pairs
JPY cross pairs two weeks running trades severely overbought to include CHF/JPY. JPY cross pairs are range trading rather than breaking or focusing on breaks at vital averages to trend. JPY cross pairs are pretty much day trades with a short-only trade strategy.
GBP/JPY leads the way forward while EUR/JPY traded in tiny ranges this week. USD/JPY and EUR/JPY trade just above the vital 142.00’s. Much lower on a break and GBP/JPY at 164.00’s.
EUR/CAD trades massively overbought while nothing special exists to GBP/CAD except to follow EUR/CAD lower. GBP/USD big break is located at 1.1572 and targets 1.1450, and only below 1.1450targets levels back to 1.1200’s.
AUD/USD and NZD/USD trade in do-or-die mode to either follow EUR/USD and GBP/USD higher and break vital levels or EUR/USD and GBP/USD trade lower to take AUD/USD and NZD/USD down. Lower for AUD/USD targets 0.6300’s and NZD/USD middle 0.5600’s.
AUD/USD trades practically pips for pip to AUD/EUR and explains EUR/AUD trading in tiny ranges over the last weeks. Both AUD/USD and AUD/EUR trade oversold.
GBP/NZD trades overbought vs oversold EUR/NZD. EUR/NZD leads the way for GBP/NZD as EUR/AUD dictates moves to GBP/AUD. The best strategy is to short to EUR/AUD and EUR/NZD. AUD/USD 0.6578 and NZD/USD 0.5911 holds EUR/AUD, and EUR/NZD progress to trade in wider ranges.