Partner Center Find a Broker


EUR/JPY 1 Hour Forex Chart
EUR/JPY 1 Hour Forex Chart

Volatility was light last week for EUR/JPY, but pair did manage to find a bid before broad risk aversion hit at the end of the week. With the market now above the moving averages, is it time for buyers to take back control? Given the trouble euro zone is having, I think I’ll stay away from long plays until I see a retest and hold of the previous support area around 136.00. On the other side of the market, I’ll look at the top WATR and PWH area for a potential short play, especially as it held as resistance going into August.

  • WO: 137.02
  • Top WATR: 137.70
  • Bottom WATR: 136.17
  • PWH: 137.63
  • PWL: 136.36


GBP/JPY 1 Hour Forex Chart
GBP/JPY 1 Hour Forex Chart

Thanks to dovish remarks and downgrades on the U.K.’s outlook, Sterling’s downtrend looks like it might be here to stay.  With the market steadily moving lower over the past couple of weeks, it only makes sense to look for short plays, and for me that’s anywhere between the moving averages and the top WATR/PWH area. One thing to note is that it is a big data week for the U.K., so keep that in mind when setting up risk parameters and stop sizes.

  • WO: 171.21
  • Top WATR: 172.25
  • Bottom WATR: 170.17
  • PWH: 172.62
  • PWL: 170.43


EUR/GBP 1 Hour Forex Chart
EUR/GBP 1 Hour Forex Chart

Like EUR/JPY, EUR/GBP has seen an upswing in favor of the euro, but given the fresh weakness of Sterling, this market might not end up like EUR/JPY if Pound bulls continue to abandon their long bets on an potential rate hike.  I’ll be watching for support around the moving averages and bottom WATR levels for bullish candles before moving into this one, especially with a big data week coming from the U.K.

  • WO: .7997
  • Top WATR: .8038
  • Bottom WATR: .7956
  • PWH: .8037
  • PWL: .7922

Risk Disclosure
Q2 2014 Trading Performance Review
Read about my trading framework
Follow me on
Follow me on Twitter
Like my Facebook page

This content is strictly for informational purposes only and does not constitute as investment advice. Trading any financial market involves risk. Please read our Risk Disclosure to make sure you understand the risks involved.