A big shift in risk sentiment last week has created new setups and opportunities. Here are this week’s must-watch levels on EUR/JPY, GBP/JPY, and EUR/GBP!
EUR/JPY
131.50 to 132.00 was the bottom for the week as sentiment shifted back to risk-on, which is definitely not a good thing for the Japanese Yen. This week, that area is still at the bottom of what could be a new range, while the September highs may be the cap for EUR/JPY bulls. A break of 133.60 may take’em there.
- WO: 133.09
- Top WATR: 134.45
- Bottom WATR: 131.74
- PWH: 133.60
- PWL: 131.13
GBP/JPY
Like EUR/JPY above, sentiment took a turn last week with traders wanting to get out of the Yen. Is this just the first leg of a new move higher, or a retracement in the recent downtrend? For you bulls, a hold above 157.00 is the key to a possible move to September highs around 159.50. The bears might want to wait for just a bit more retracement or break below the 157.00 major psychological area.
- WO: 156.79
- Top WATR: 158.43
- Bottom WATR: 155.15
- PWH: 157.53
- PWL: 154.71
EUR/GBP
EUR/GBP stair-stepped higher last week, so the probability is to the upside if the market story stays the same. In that case, a sustained move above the major psychological level of .8500 may be an invitation for the bulls to push higher. But this is a pretty important week in the markets, and if sentiment shifts again to the bear side, .8500 – .8550 may be the kill zone!
- WO: .8491
- Top WATR: .8545
- Bottom WATR: .8437
- PWH: .8510
- PWL: .8424
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.
