Eddied01

Eddied01

See below for daily view

Eddied01

Amidst all the risk-off news last week gold posted a lower high and lower low vs the previous week indicating weakness in the current sentiment towards gold which could likely continue for a couple of weeks

Eddied01

See below for two longer-term views

Eddied01

After recent sluggish economic indicators the euro have been showing weakness. Last week it made a new low 4 of the 5 days which could indicate further weakness See below for a longer term view

Eddied01

The past few months the $ has not reacted in any form of traditional correlations nor has it reacted in a traditional way to positive US economic data. Overshadowed by fears of trade wars, 3 vs 4 rate hike speculations, increasing concerns about debt and opposing views of what the tax reforms impact will be on inflation and growth in 2018. That said the dollars...

Eddied01

Keep an eye on a potential retrace to the 0.935 to 0.937 area after which it should rally up

Eddied01

See notes on the graph. a break of 1.43 invalidates the view in the short-term and could reach 1.44 to 1.45 before it turns down

Eddied01

This could potentially be a very nice long for the next month or two as long as it remains above the 200 week SMA currently at 11.44. Keep in mind that the South African rand is called the Rattle Snake as you never really know where it will go next :). A break of 11.44 and 10.8 could come into play That said a correction is due after being brutally sold of in the...

Eddied01

The pair should be very close to short territory or at least time for a correction . If the top is not yet in 1.35 to 1.365 very possible after a correction

Eddied01

keep an eye on the 1.8 level, should it get rejected again go short but beware that it could reach the 1.83 area before it turns down. Should it breach 1.83 impulsively 1.85680 will be the next level targeted

Eddied01

1.83510 = .5 Fib retracement Trend lines from previous highs lining up nicely Very overbought

Eddied01 Updated 

See comments and options on the chart

Eddied01

The overall trend in the medium term should be down. The question is which path it will take to head down. At this stage my view is that the top could be in and as long as 1.24751 is not breached I will stay whit this preferred view

Eddied01

As per my comments on the graph keep an eye on the key resistance trend lines and short if it is not broken

Eddied01

A key trend line was broken and should be retested. 0.763 should be tested and if broken 0.75 will be next level down

Eddied01

Wait and observe the potential retrace. Most probably up to 1330 & maybe 1333. Could also be limited to 1326 Important to observe the reaction to each level

Eddied01

The possibility is still there that the low is not in yet. 0.9322 key area and if broken 0.925 will be next target. Should that not hold a new low will be put in

Eddied01

a bit overbought on the 4hr at this stage but still positive upward momentum. The pair could retrace before the rally up resumes