This week coming up could be pivotal. We’re close to breakout levels on the Yen and Euro and possibly cyclical support on Bonds. We’ll know in the next couple of days.
If the Yen and Euro break to the upside it will signal an end to my bullish US Dollar position (for the time being at least). The Aussie Dollar is still weak, so that’s personally good for me – so not going to adjust my trading capital.
Critical Resistance on Euro (weekly & daily)
The blue Professional down bars show the Professionals were buying this dip. We’re back up to resistance on the daily and weekly charts and if we bust through $1.34 we’re going to break into a very strong uptrend.
First look at the weekly chart to check there’s been an End of Trend pattern (exhaustion selling, first bullish divergence & End of Trend signal on Better Sine Wave). Then look for blue Professional bars on the dips down and for the lows of those bars to hold. That shows Professionals are getting ready for the next trend break above a resistance line.
The critical levels are 1.025 on Yen futures, 1.34 on Euro and 81.0 on Dollar Index. And still 1,680 on the Emini. Could be an interesting week.
Good luck with your Emini trading.