Weekly Watch: April 29 to May 3, 2013

Well, that wasn’t quite how I expected the Lakers’ season to end! Yes, they were undermanned, but Dwight couldn’t keep his cool and got ejected! You can’t do that – especially in the playoffs!

In a way, I can see how the forex markets and the NBA playoffs are similar. Both are tough, mentally challenging environments and we have to remain calm and collected at all times. That’s why it’s important to do our pre-market routines, as they help guide us throughout the trading week so we don’t panic and lose our cool!

Without further ado, here are the important levels to keep in mind this week when trading EUR/JPY, GBP/JPY, and EUR/GBP!

EUR/JPY

EUR/JPY Hourly Chart

Will the sell-off continue this week? After topping out at 130.60 last week, EUR/JPY has come crashing down, and is slowly approaching the 127.00 mark. If this fails to hold, we may just see price action continue to drop and possibly test the 126.00 and 125.00 MaPs.

  • WO: 127.67
  • Top WATR: 129.66
  • Bottom WATR: 125.77
  • PWH: 130.60
  • PWL: 127.13

GBP/JPY

GBP/JPY Hourly Chart

Looking at the past two weeks, we can see that Guppy has posted higher weekly lows. Will this week make it three in a row? If you think it will, watch out for the 151.00 psychological level as a potential support level. If you think we could see price drop further, we could also see some interest at the confluence zone around the PWL and bottom WATR at 150.00.

  • WO: 151.77
  • Top WATR: 153.77
  • Bottom WATR: 149.78
  • PWH: 153.75
  • PWL: 149.95

EUR/GBP

EUR/GBP Hourly Chart

Take note that EUR/GBP is now trading at a major support zone, so it’ll be interesting to see whether sellers can push price back down below the .8400 mark. However, if you’re the type to trade retracements, you might wanna pop on the Fib tool and see if any of the levels lines up with the top WATR and .8500 MaPs, as sellers may be looking at that spot for a short entry.

  • WO: .8415
  • Top WATR: .8492
  • Bottom WATR: .8338
  • PWH: .8596
  • PWL: .8398

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