Forex Weekly Watch: Mar. 24 – 28, 2014

EUR/JPY

EUR/JPY 1 Hour Forex Chart

EUR/JPY 1 Hour Forex Chart

EUR/JPY fell back into consolidation mode last week as the markets seem to be calming down from recent geopolitical risks and an economic data scare from China. With a relatively light economic calendar for the week, playing the ranges may be the best plays with a breakout setup on the ready in case we get surprise news or data catalysts.  I’m going into reactionary mode on this one as it can be played from many different angles on multiple time frames.

  • WO: 140.90
  • Top WATR: 142.12
  • Bottom WATR: 139.68
  • PWH: 141.98
  • PWL: 140.44

GBP/JPY

GBP/JPY 1 Hour Forex Chart

GBP/JPY 1 Hour Forex Chart

Guppy also fell into consolidation mode last week, trading within a 200 pip range. I’m watching that top WATR level as it lines up with the major psychological level (170.00) and previous week highs.  Unless we get a major catalyst this week, it should provide an area of high probability to attract a lot of orders.

  • WO: 168.33
  • Top WATR: 169.92
  • Bottom WATR: 166.74
  • PWH: 169.73
  • PWL: 167.77

EUR/GBP

EUR/GBP 1 Hour Forex Chart

EUR/GBP 1 Hour Forex Chart

EUR/GBP has been in a ranging for the past two weeks, which I think will continue until the next European Central Bank monetary policy meeting next week (barring any major surprise events).  The previous week’s high and low are probably the best candidates to attract limit orders, with my bias towards playing the .8300 – .8330 area as a support area given the move higher over the past month.  Of course, with any ranging pattern, always have a breakout play in your back pocket ready to go!

  • WO: .8357
  • Top WATR: .8420
  • Bottom WATR: .8319
  • PWH: .8400
  • PWL: .8328

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  • http://wisdomlook.com Muhammad Mahtab Saleem

    I am trading in EUR/GBP and hopes that this week will remain profitable.