To view a more in-depth analysis on the other pairs such as the AUD and CAD crosses, please visit our Live Trading Room at http://www.fxinstructor.com/eng/ltr to see and hear our FXInstructors analyse the markets and identify trades

To view a more in-depth analysis on the other pairs such as the AUD and CAD crosses, please visit our Live Trading Room to see and hear our FXInstructors analyse the markets and identify trades

To view a more in-depth analysis on the other pairs such as the AUD and CAD crosses, please visit our Live Trading Room at http://www.fxinstructor.com/eng/ltr to see and hear our FXInstructors analyse the markets and identify trades

Last week the Bucky retaliated with a vengeance. It was full out war against the other currencies as the Dollar stepped up to the plate, continuing its broad based strengthening. Major support levels in the EUR and GBP were violated in spectacular fashion. The hot knife through butter effect..

Due to the fact that major support has been breached in all pairs vs the bucky, we can now expect a whole cycle change for the next couple of years

Have a look at the intermediate support level which has been violated. Before this level was violated, the EUR still had a fighting chance against the Dollar but now all hopes for a EUR comeback has flown out of the proverbial window…

EUR Probability Study for today:

Direction of Highest Probability for Major Trend - BEARISH
Direction of Highest Probability for Intraday Trend - BULLISH

Intraday Probability Study:

No Trade Zone within a Bullish Probability. By the looks of things we might see consolidation/retrace as the bearish 60minute trend resistance line has now been violated. Even though the violation is not confirmed yet, the bearish probability is no more. Remember that we are not saying that the market will retrace all the way back to 1.6figure, but according to the probability study technique the market moves in cycles and we might see an intraday bullish cycle/probability before the next short move

Currently the EUR is bouncing on the daily support at 1.4920 (attached below) Keep an eye on this one…It is 30 pips away. If it’s violated the bearish trading condition will resume with brute force

On the economic front today we have UK inflation figures in the form of the PPI so keep an eye on this one as it will give us an indication of the future movements of the Cable as well.

We wish you a great trading week ahead and please feel free to come and say hello in the Live Trading Room

Johan Kriek
jkriek@fxinstructor.com