Today
The week continued rather quietly again today with very little in the way of movement. Towards the US session we started to see some minor US dollar strength as the dollar index bounced off of its lows.
Most of the Retail Order Books have remained relatively quiet and flat along with the price action. Minor buying in EUR/USD and minor selling in GBP/USD.
The relatively quiet period has sparked our Order Book systems to consider US dollar longs again as Retail Traders are showing signs of switching to US dollar weakness. If this trend continues we could see the initial correctional move in the US dollar higher.
Durable Goods and Home Sales out of the US to watch out for tomorrow, but again we expect a relatively quiet day.
EUR/USD
Long: 1.3260
RTAS Order Book systems continued to hold longs, although we started to see some Retail Buying in the pair moving our systems back closer to shorts. Resistance comes in at the 1.3560 / 13600 level with support around the 1.3470 mark. The region the pair bounced off today and is retesting at the close. With the continued buying in EUR/USD by Retail Traders our systems are likely to book profit on longs and switch short very soon.
EUR/USD 1" border="0" height="919" width="1024">
The pair stalled at the highs, we could see a push into the 1.3600 level. But, the Retail Order Books now back at nice extremes for reversals. We could see a correctional move or a larger move lower from the pair soon. If we break the 1.3470 support level next major support comes in around the 1.3400 / 1.3390 mark.
EUR/USD 2" border="0" height="883" width="1024">
GBP/USD
Short: 1.5970
With the pair now having retraced the whole of the post FOMC announcement the RTAS Order Book shorts are now close to breakingeven, and are flirting with profit today. However the initial Retail Buying in the pair has subsided for more retail selling, if this continues we could see a push back to test recent highs, and that said we do prefer this pair for a larger correctional move lower.
GBP/USD 1" border="0" height="919" width="1024">
The pair pulled back from the extreme overbought region towards the end of last week, and we could see a further correction in the pair given the recent trend it has been on. But, whilst we stay above the 1.5780 mark these would still count as correctional and the pair could easily push higher again. Key for a push higher is a hold above the 1.6050 / 1.6150 marks.
GBP/USD 2" border="0" height="883" width="1024">
AUD/USD
Long: 0.9400
Systems switched to shorts today booking a small profit on longs, and then flipped back to longs only to look to switch back to shorts at the close. Reality of the movements is simply due to the flat Retail Order Book although it has done fine, and is booking small profits. This pair is really consolidating ahead of its next move, resistance comes in at the 0.9520 mark and support just below at 0.9380.
AUD/USD 1" border="0" height="919" width="1024">
The 0.9650 to 0.9800 region is the key retracement area to watch for in the AUD/USD, and currently we still sit below this key level. Therefore, the overall Bearish trend remains intact. Overall we still like this pair for a move higher towards this resistance region.
AUD/USD 2" border="0" height="883" width="1024">
EUR/AUD
Short: 1.4360
The RTAS Order Book systems remained short on this pair and we started to see some further Retail Buying in the pair on dips lower. If this picks up we could see this pair test recent lows around the 1.4200 level, a break of this level could open the door to a much larger move lower.
EUR/AUD 1" border="0" height="919" width="1024">The pair has now managed to chop sideways whilst pushing itself out of the oversold territory, and has come back off extremes in the Order Book.Iit is now primed for its next major move higher or lower, if we see further Retail Buying we could easily see a push lower especially if we see Retail Buying in the EUR/USD cross. Whilst we remain below the 1.4520 mark we still prefer shorts.
EUR/AUD 2" border="0" height="883" width="1024">
EUR/GBP
Long: 0.8410
Order Book systems have chopped around at current levels with an almost perfectly flat Retail Order Book, therefore today the pair switched from longs to shorts and back to longs at the close booking some nice profit along the way. Generally Retail Traders have been selling the pair slightly and whilst this trend continues we continue to prefer longs.
EUR/GBP 1" border="0" height="883" width="1024">
A lovely bearish pin bar on the daily chart formed nicely inside the previous days bar. Set-up offers a nice breakout play to the downside with a break of yesterdays low the prime entry point targeting the 0.83333 pivot initially.
EUR/GBP 2" border="0" height="883" width="1024">