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EUR/JPY

EUR/JPY 4-hour Forex Chart
EUR/JPY 4-hour Forex Chart

EUR/JPY continues to trend lower after breaking below a short-term consolidation pattern a few days back. Bearish momentum still seems to be strongly in play, probably enough to draw the pair to the former resistance around 116.00-117.00 near the 61.8% Fibonacci retracement level and bottom WATR. Now I ain’t exactly a fan of The Secret but I do believe that the Law of Attraction also works for trading levels in that major areas of interest tend to pull price action closer.

  • WO: 118.48
  • Top WATR: 119.54
  • Bottom WATR: 117.43
  • PWH: 120.32
  • PWL: 118.37

GBP/JPY

GBP/JPY 4-hour Forex Chart
GBP/JPY 4-hour Forex Chart

Breakdown alert! Guppy finally made up its mind where to go and broke out of the symmetrical triangle visible on its 4-hour chart. Price could be headed south from here, probably by around a thousand pips, which is the same height as the chart formation. However, stochastic is already indicating oversold conditions so buyers could take over and cause a pullback to the broken triangle support near 140.50. Another wave lower could take it down to the bottom WATR then to the lows near 135.50.

  • WO: 139.90
  • Top WATR: 141.76
  • Bottom WATR: 138.04
  • PWH: 142.04
  • PWL: 139.49

EUR/GBP

EUR/GBP 1-hour Forex Chart
EUR/GBP 1-hour Forex Chart

So much for that range on EUR/GBP last week! The pair appears to be trending lower and moving inside a new descending channel pattern on its 1-hour chart. Price is heading up to test the channel resistance just below the top WATR and PWH while stochastic is approaching the overbought area. Once sellers get back in the game, the pair could head back down to the channel support near the bottom WATR and PWL at the .8400 major psychological level.

  • WO: .8469
  • Top WATR: .8553
  • Bottom WATR: .8385
  • PWH: .8557
  • PWL: .8403

Q4 2016 Trading Performance Review
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