EUR/USD MA’s: Levels, Ranges, Targets

 

Following are moving averages from 338 days to 4690 days or January 1, 1998. Shorter term averages from 338 to 846 days are severely overbought and below current EUR/USD at 1.1650’s. EUR/USD remainder averages all reside above current price. The range at the low end at 338 day is 1.1007 and high end at the 2894 day is 1.2976. The mid point is located at 1.1991. The further point to note is the 10 year or 2562 day average resides at 1.2973.

EUR/USD currently trades between two break points above and below at 1.1511 and 1.1954. Both points represent the 846 day  and 1103 day averages. Above 1.1954, EUR/USD faces massive hurdles ahead at 1.2085, 1.2090 and 1.2097 and represents the 4754 day followed by 1279 and 4690 day. Next comes 1.2124 and 1.2202 at the 1356 and 4429 day averages.

Below 1.1511 at the 846 day, I’m watching the Distribution at 1.1279 and the 78 day average at 1.1123.  Despite averages above current EUR/USD price, downside EUR has light years of distance to travel before oversold becomes a concern. Below is the line up of averages

338 day = 1.1007

592 = 1.1020

846 = 1.1511

1103 = 1.1954

1279 = 1.2090

1356 = 1.2124

1615 = 1.2387

1874 = 1.2503

2129 = 1.2700

2385 = 1.2862

2562 = 1.2973

2639 = 1.2990

2894 = 1.2976

3154 = 1.2910

3411 = 1.2886

3588 = 1.2839

3665 = 1.2808

3922 = 1.2621

4174 = 1.2393

4429 = 1.2202

4690 = 1.2097

4754 = 1.2085 = Jan 4, 1999.

 

Brian Twomey

 

EUR/USD, Yield Curves, Trump: Levels, Ranges, Targets

 

Michael Pento yesterday informed the Chinese yield Curve is now negative and this adds to negativty in the Japanese, CHF, EUR, UK, NZD, CAD and USD. The dark period lies ahead as many more nations must contain unanimity in negative yield curves because the world operates on the same interest rate numbers inside tiny channels and the result is nations follow each other closely so not one nation gains advantage.

All nations operate against 2% Inflation, 1% GDP, Stimulus, low wages and 50 pip daily movements in each other’s exchange rates. So tightly bound are the nations, a disaster in one nation leads to a crash in all nations. And its done by agreement as opposed to the 1930’s currency market when nation set out to destroy each other’s exchange rates to gain export advantage as an economic rebuild from the depression.

Prior research suggests recession in 6 months by negative yield curves but as speculation and against all the nations in negative, is 6 months the threshold. Year 2018 is the next vital number in the 323 year history of central banks. The recession window is current to 2018. Not helpful is politics remains fluent for Trump.

Trump’s current threat comes from Special Prosecutor Mueller and his wide agenda to investigate any topic pertaining to Trump and at any period in time. Why can’t Mueller and his cadre of Democrat lawyers investigate the entire Republican party as he was granted the power. Attorney General Sessions recusal from Russia investigations leaves the number 2 and a Democrat at the Justice Department as the next person to fire Mueller. If number 2 refuses then comes a long line of Democrats at Justice who will also refuse.

Trump must eliminate Sessions, force an unrecusal and / or hire an Attorny General to neutralize and or outright fire Mueller. Against Mueller, Trump lacks any choice. The Democrats are using the old playbook when they brought down Nixon. Look for Trump to win and frustrate Democrats yet again against Mueller as the conventional Democrat approach to Trump will never work.

EUR/USD. Break above comes 1.1718, we’re looking at sell points today at 1.1688. Two break points below are located at 1.1602 and far below at 1.1552. Look for a bounce at 1.1601 if seen today.

GBP/USD. Currently caught between break points at 1.3095 an 1.3051. Below 1.3051 comes next 1.3022.

AUD/USD. Break points above are located at 0.7959 and 0.7969.

NZD/USD. Break points are located at 0.7454 and 0.7478 vs below at 0.7427.
Brian Twomey