I will be watching with earnest this week the EURUSD, USDCHF & GBPUSD I believe we will continue to see USD dollar strength
Looking at the 1 hour chart the price is bouncing off the 200sma and setting just above support 2.5 at 1.2558. Going into this week I am watching the EURUSD I think we will still dollar strength against the Euro and we could see the EURUSD go to 1.2300+/-
The level that I am waiting to see closed below is 1.2540 before taking the short. What I would like to see is a close on the 30min and the confirming close on the hour I will be looking for the next level for a continuation of the sell at 1.2475 and then onto 1.2440. At which point you could take an entry with the close below 1.2440 with target at 1.2400
As stands now there is a nice mirrored image of the USDCHF to the EURUSD I will wait to see if the USDCHF can close above 0.9571 on the 1 hour chart with a target at 0.9629 +/- and the next levels/targets are as follows. 0.9651, 0.9675 and possibly 0.9750
If the GBPSUD is able to close below 1.5626 on the 1 hour chart I will be looking to take the short with levels/targets at 1.5535, 1.5473, 1.5410, 1.5337 and maybe onto 1.5277.
Please note that at each level the price could stall and go in the opposite direction so please use caution when evaluating your entry. I look for what I call a True Close in most cases, and that is 1st the break, then 2nd a candle close and 3rd a confirming candle close on whatever direction and time frame I am watching.
Please be aware that the INTRADAY trades if taken have the ability of becoming your swing trades. But if for any reason I become uncomfortable with that trade I will close it and take my profit where ever it may be.
Please note that in many case my entry’s long become my stops Short and my entry’s Short become my Stops Long. And in some case I will extend my stops beyond those levels. So please take that in consideration when placing your trade and lot allocation and money management.
Please note the Forex market is very fluid and volatile and can and has changed very quickly. So if at any point in the trade I feel uncomfortable with my trade, charts or any other events, I could stand aside not enter or close the trade. Also I as far as take profit goes I feel one should take their profit where ever they are happy at. I am looking for my targets but if for any reason I am either comfortable or uncomfortable I will take my profit.
All trade entry’s/levels are based on my opinion on what I see on my charts and the indicators that I use for myself and any trades taken should be done with due diligence and that individual assumes full responsibility for his or hers trades.
WEEKLY MARKET ANALYSIS – JUNE 18TH, 2012