Weekly Watch: January 9 to 13, 2012

What a week for the euro, eh? Not only did it sink against the dollar, but it weakened against the rest of the majors as well!

Luckily for me, I had my own Tebow moment (TEEE-BOWWWWW!!!!) and threw a touchdown on my EUR/CAD trade. Could we see a repeat performance this week?

I ain’t too sure, but here are some levels I’ll be looking at to help me move the chains, one pip at a time!

EUR/JPY

EUR/JPY Hourly Chart

Clearly, sellers are still dominating EUR/JPY, which has allowed the pair to make successive new weekly lows. If the pair retraces, I’ll be keeping my eye on that 99.00 MaPs and top WATR as a potential support-turned-resistance area. Popping up some Fib levels might also provide a good opportunity to hop on the recent downtrend, so keep that Fib tool ready!

  • WO: 97.54
  • Top WATR: 98.89
  • Bottom WATR: 96.19
  • PWH: 100.26
  • PWL: 97.89

GBP/JPY

GBP/JPY Hourly Chart

As I pointed out through my Facebook page late last week, GBP/JPY broke out of a symmetrical triangle, which means we could see more losses for this pair. I think the 119.00 MaPs could serve as a potential resistance point, as it held as support early last week. If the pair manages to fall all the way down to the bottom WATR, take note that this area served as a double bottom back in early October 2011.

  • WO: 118.47
  • Top WATR: 119.72
  • Bottom WATR: 117.24
  • PWH: 102.01
  • PWL: 99.57

EUR/GBP

EUR/GBP Hourly Chart

After finding major support around .8335 last week, we saw a strong sell-off in the euro, allowing this pair to drop all the way down to the .8250 MiPs. If you’re the conservative type, you can wait till the pair retraces back up to just below the bottom WATR to establish a short position. However, if you’re like Drew Brees and the Saints and wiling to gun it even on the 4th down, going for a solid breakout below this week’s open could be your play.

  • WO: .8232
  • Top WATR: .8299
  • Bottom WATR: .8165
  • PWH: .8373
  • PWL: .8238
  • victor Ezeagha

    I see nothing about EURO/USD or don’t you trade them?

    • Asifatdaman

      buddy, its cross currency pairs, its not include any pair with usd