The has shown weakness since the August 2011 top, characterized by a downsloping . Now it tests UWL1. The breakout of this level may precede the breakout of the old highs in price. As an alternative scenario, a reaction by this level precede a price action going down to the key zone shown as two horizontal rods in the chart.
With the analysis of this pair, I completed my monthly series on the major currencies . It is wise to trade those currencies among each other and not against a single base currency such as the US dollar0.00% . In other words, instead of trading the typical list of the major pairs, which are EURUSD0.38% , USDJPY-0.53% , GBPUSD0.38% , USDCHF-0.33% , AUDUSD0.50% , USDCAD0.02% and NZDUSD0.68% , I prefer to trade the following list: EURUSD0.38% , USDJPY-0.53% , EURCHF0.05% , GBPJPY-0.14% , GBPAUD-0.09% , CADCHF-0.22% , AUDNZD-0.08% , NZDCAD0.77% . As you might have noticed, each currency is quoted only twice in the list. This is a better option for diversification and to keep an eye on the all of the currencies . Of course, this doesn't mean that I don't trade any other major cross.
I hope my analyses will be helpful. I will continue with giving weekly and daily analyses for those pairs. Thank you in advance for your comments!