Inside the Currency Market: EUR/USD

EUR/USD Bottom. 1.1170. Range break above 1.1332, 1.1279, Below 1.1174, 1.1122. Overbought sell point 1.1288, Failure point 1.1259. Strategy. Longs above 1.1227, target 1.1288 then reverse short to 1.1259. Poinys on the way up, 1.1229, 1.1232, 1.1245, 1.1259, 1.1274, 1.1288.

Shorts below 1.1226, Target 1.1198. Watch here for reversal to 1.1226 and higher. Points on the way down, 1.1222, 1.1215, 1.1208, 1.1201, 1.1170 Bottom. Point 1.1170 must cross to go higher.

Looking further, 1.1159 and 1.1137 big breaks below.

Brian Twomey, Inside the Currency Market, btwomey.com

Inside the Currency Market: S&P 500

Last week mentioned from 1915.75 close, breaks to go higher were located at 1968.42, 1967.31 and 2048.49, and 2067.13. Price dead stopped at 1950.73. Price was not expected to break. Mentioned 2048 and 1313 call the shots, this week 1423.03 and 2047.86 dictate price direction. Price extremes last week was seen at 1868.02 with 1865 target. Price dead stopped at 1871.62.

The week’s 1943.00 close price begins inside a range of 1968.11 and 2047.86 – 1423.02. The bottom range jumped 110 points from last week’s 1313 bottom. Price rises sees 1423.03 overbought while price drops experiences oversold from 2047.86. Currently 1423 is overbought while 2047 is oversold and its why we see ranges and targets tightening. Further range restrictions are due to price Peaks seen at both 2047 and 1423. To align the distribution from short to long term averages, targets must be seen at 1986.45, 1864.96, 2048.87, 1936.47, 1882.57 and 1755.26.

Shortest term ranges are found at 2047.86, 1968.11 – 1838.06 below. Price targets are found at 1986.45, 1936.47, 1877.01, 1864.96. Price extremes are found at 1863.65 and 2232.06 and 2277.55. Note price targets are within 1968.11 – 1838.06 range. If 1838.06 ever breaks then target longer term becomes 1626.24.

The strategy moving forward is sell rallies in the 1968.11 vicinity and long from 1863.65 and 1864.96. A vital point to monitor on the way to 1863 and 1864 is 1877.01. This is a big point and big break if seen. Price may hold at 1877 and bounce. Neither 1968.11 and 1838.06 is expected to break so its range trading expected for the week.

Brian Twomey, Inside the Currency Market, btwomey.com