EUR/USD
Weekly Trend direction: Bearish
Weekly trend reversal level: 1.3340
Key G7 resistance levels: 1.2900/20, 1.2960, 1.3030, 1.3100
Counter-trend and scalping opportunities:

Strategy: Whilst below the weekly trend reversal level sell rallies to resistance levels after an entry signal.

Today’s trade suggestion: A sudden reversal of fortunes for the Euro has created a large bearish weekly candle and a drop below last week’s reversal level. That means we are bearish this week, whilst below 1.3340, a long way above us. Remember that August is traditionally a tough month to trade due to thin markets creating sudden swings in both directions. The two hundred period moving averages are around about the first resistance levels between 1.2900 and 1.2960, and these are the first levels where we’ll look to sell. Targets will be back down at 1.2750 and perhaps lower.

Update: Pretty much ranged since the start of the week. The strategy remains the same – sell into rallies, with resistance levels unchanged. After last week’s dramatic move lower, it’s not unusual to get a period of
consolidation whilst the traders not on holiday digest the moves.
Update Friday: No change – strategy remains the same!

Summary: Sell rallies to resistance levels, starting at 1.2900, after a clear G7 entry signal. Target 1.2750 and
perhaps lower.

GBP/USD
Weekly Trend direction: Bearish
Weekly trend reversal level: 1.6000
Key G7 resistance levels: 1.5680/1.5700, 1.5780, 1.5820, 1.5900
Counter-trend opportunities:

Strategy: Whilst below the weekly trend reversal level sell rallies to resistance levels after an entry signal

Today’s trade suggestion:
Similar to the euro, the pound formed a large bearish engulfing candle last week, reversing the weekly direction this week to short. We have fallen back to the weekly trend line and seen and small bounce. The strategy is very simple this week, and resistance levels are well defined, with confluences of technical resistance all the way up to 1.5900. At the moment, the most likely candidate for a sell level is 1.5680 – 1.5700, and we’ll watch closely for a clear G7 reversal signal before selling. If this fails, look for signal higher up at 1.5780 and 1.5820.

Update: The pound moved up to the first resistance level at 1.5700 yesterday before falling back to last week’s low. We were able to sell into the rally during session yesterday, but we got taken out at breakeven due to the intraday chop. The strategy remains unchanged. It will be interesting to see if we break below 1.5530 today – in which case the resistance levels will need to be adjusted.
Update Friday: Strategy remains unchanged. We’ve had two great opportunities to sell into the news rallies, with over 110 pips gained. Perhaps best to call it a week.

Summary:
Sell rallies to 1.5680/1.5700 after a clear G7 signal. Target 1.5550. If this should fail, watch for reversals at the resistance levels higher up.

USD/JPY
Weekly Trend direction: Bullish
Weekly trend reversal level: 84.70
Key G7 support levels: 85.80, 85.50, 85.30, 85.00
Counter-trend opportunities:

Strategy: Whilst above the weekly trend reversal buy dips to support levels after an entry signal.

Today’s trade suggestion:
Sigh…A weekly “piercing pattern” candle last week means we have reversed to long. Whether we’ll hold above the magical 85.00 level (15 yr low) remains to be seen. The weekly “falling wedge” pattern, last week’s piercing pattern and the ever-present danger of price protection by the Bank of Japan, means that long trades are the best bet whilst above 84.70. Look to buy the dollar into dips whilst above here, for a target of 86.40 and then 88.00.

Update: The Dollar fell back to the key hourly 78.6% Fibonacci level yesterday, where we bought. Still hovering around the entry at 85.35, and still inconclusive. Will we fall through the 78.6% and retest the 15 yr lows at 84.70, or will support hold? Today should tell. Holding longs from 85.35, with updates as the day progresses!
Update Friday: Unchanged. Messy and annoying. Currently long the dollar, but the jury is still out. Weekly
direction is long.

Summary:
Buy into dips into support levels whilst above 84.70, after a clear G7 entry signal. Target 86.40 and then 88.00

EUR/USD Weekly Trend direction: Bearish

Weekly trend reversal level: 1.3340 Key G7 resistance levels: 1.2900/20, 1.2960, 1.3030, 1.3100 Counter-trend and scalping opportunities:

Strategy: Whilst below the weekly trend reversal level sell rallies to resistance levels after an entry signal. Today’s trade suggestion: A sudden reversal of fortunes for the Euro has created a large bearish weekly candle and a drop below last week’s reversal level. That means we are bearish this week, whilst below 1.3340, a long way above us. Remember that August is traditionally a tough month to trade due to thin markets creating sudden swings in both directions. The two hundred period moving averages are around about the first resistance levels between 1.2900 and 1.2960, and these are the first levels where we’ll look to sell. Targets will be back down at 1.2750 and perhaps lower.

Summary: Sell rallies to resistance

EUR/USD

Weekly Trend direction: Bullish
Weekly trend reversal level: 1.3040
Key G7 support levels: 1.3100, 1.3040/50
Counter-trend and scalping opportunities:

Strategy: Whilst above the weekly trend reversal level buy dips to support levels after an entry signal.

Today’s trade suggestion:
August chop already seems to have set in, with Friday’s NFP gains already wiped out, and nasty swings yesterday.
We haven’t managed to get into any Euro trades this week so far, and just as well – bullish attempts would have
been stopped out. For today, we’ll look to buy the euro into dips with just two support levels left beneath us:
1.3100 (yesterdays support low) and 1.3040/50 (the weekly reversal level and the 78.6% retracement of the last
swing rally) Be careful of whipsaw, and don’t be in a rush to enter this market today. With over 300 pips in the
bank already this month, I am willing to be VERY patient.

Summary: Buy dips to support levels listed above after a clear G7 entry signal. If we drop below the weekly
reversal level at 1.3040. Stay out.

EUR/USD
Weekly Trend direction: Bullish
Weekly trend reversal level: 1.2860
Key G7 support levels: 1.2960/80, 1.2920, 1.2660/70
Counter-trend and scalping opportunities:

Strategy: Whilst above the weekly trend reversal level buy dips to support levels after an entry signal.
Today’s trade suggestion:
A messy old day on Friday (as expected on the last Friday of the month) saw some nasty whipsaws leaving the price essentially unchanged since Thursday. This week we are bullish yet again, with weekly support at 1.2860 and various support levels above there at 1.2960 and 1.2920. The strategy remains unchanged – but the euro into dips after a clear g7 entry signal with a target of 1.3100 and perhaps higher. A word of caution – the price has reached just shy of the weekly 38% retracement level (see weekly) chart, and the euro is more overbought than it has been since October 2009. This means we are possibly due for a sharp correction, which could take us below the weekly trend reversal level in quick time.

Summary: Buy dips to support levels listed above after a clear G7 entry signal, allowing for a sudden pullback
as far as 1.2500. First target 1.3000 and then 1.3120.

Weekly Trend direction: Bullish
Weekly trend reversal level: 1.2732
Key G7 support levels: 1.2900, 1.2850, 1.2780/2800, 1.2720
Counter-trend and scalping opportunities: 1.2980 – 1.3050
Strategy: Whilst above the weekly trend reversal level buy dips to support levels after an entry signal.

Today’s trade suggestion:
Little has changed since last week, as the Euro has been in a broad sideways range for much of the last week. Support levels are listed above and we’ll continue to look to buy the Euro into dips, with an unchanged strategy.
There is a word of caution: It is very possible that we’ll retrace and correct back to the weekly downward trend line, which now acts as a support. Today, this lies at roughly 1.2520, which is below the weekly reversal level. As bullish momentum has slowed somewhat and the danger of a consolidation/correction is increasing, we’ll allow for some careful trend and counter-trend trading if the opportunity arises. Watch for potential topping at 1.2980/1.3000

Update: Very little change, as the euro popped its head up briefly above 1.3000, and then back to the range. We’ll have to wait and see if we get another rally from here. The strategy remains unchanged, apart from small adjustments to the support levels above. Probably best to focus on trading in the direction of the bullish trend today.

Summary: Buy dips to support levels listed above after a clear G7 entry signal, allowing for a retracement as far
as 1.2630. First target 1.3000 and then 1.3120.

Update: Very little change, as the euro popped its head up briefly above 1.3000, and then back to the range.
We’ll have to wait and see if we get another rally from here. The strategy remains unchanged, apart from small
adjustments to the support levels above. Probably best to focus on trading in the direction of the bullish trend
today.
Summary: Buy dips to support levels listed above after a clear G7 entry signal, allowing for a retracement as far
as 1.2630. First target 1.3000 and then 1.3120.

EUR/USD
Weekly Trend direction: Bullish
Weekly trend reversal level: 1.2732
Key G7 support levels: 1.2780/2800, 1.2720, 1.2630
Counter-trend and scalping opportunities: 1.2980 – 1.3050

Strategy: Whilst above the weekly trend reversal level buy dips to support levels after an entry signal.

Today’s trade suggestion:
Little has changed since last week, as the Euro has been in a broad sideways range for much of the last week. Support levels are listed above and we’ll continue to look to buy the Euro into dips, with an unchanged strategy.
There is a word of caution: It is very possible that we’ll retrace and correct back to the weekly downward trend line, which now acts as a support. Today, this lies at roughly 1.2520, which is below the weekly reversal level. As bullish momentum has slowed somewhat and the danger of a consolidation/correction is increasing, we’ll allow for some careful trend and counter-trend trading if the opportunity arises. Watch for potential topping at 1.2980/1.3000

Summary: Buy dips to support levels listed above after a clear G7 entry signal, allowing for a retracement as far as 1.2530. First target 1.3000 and then 1.3120. Perhaps try small counter-trend short trades between 1.2980 and 1.3050 if there is a clear G7 entry signal.

EUR/USD

Update: Moving down close to 1.2840 – the 38% retracement level – but no real signs of reversal just yet. We’ll allow for a further dip to the support levels listed above, which will take us down to the raft of technical supports below us. Be patient!

Summary: Buy dips to support levels listed above after a clear G7 entry signal, allowing for a retracement as far
as 1.2660-1.2700. First target 1.3000 and then 1.3120.

GBP/USD
Weekly Trend direction: Bullish
Weekly trend reversal level: 1.4950
Key G7 support levels: 1.5270, 1.5200/20, 1.5150, 1.5050
Counter-trend opportunities:

Strategy: above the weekly trend reversal level buy dips to support levels after an entry signal

Today’s trade suggestion:
In sync with the other currencies as they strengthen vs. the US dollar. The pound has rallied sharply to a new recent high at 1.5472, and is probably due for a correction or consolidation. We have already retraced to the 38.2% Fibonacci level at 1.5270, but we’ll allow for a little more pullback to the next support level at 1.5200/20 provided by a raft of support at the 50% retracement level, previous high and the 200 period moving averages. Look to buy into dips to 1.5200/20, or perhaps even 1.5150 if the dollar gains a little support in the early part of this week. Wait for a clear G7 reversal signal, remembering the PAPA principle! Targets for long trades are 1.5400and then 1.5450.

Update: Pretty much on cue, with a good profit yesterday resulting from the bounce from 1.5200. Another chance to buy was seen at 1.5150 during the Asian session, and once again the pound has delivered. As we have
seen plenty of action over the past 24 hours, it’s probably best to give the pound a break and focus on the other
pairs today.

Summary:
Buy dips to support levels after a clear G7 signal. Targets 1.5400 and then 1.5450. Staying out of this pair today.

EUR/USD
Weekly Trend direction: Bullish
Weekly trend reversal level: 1.2520
Key G7 support levels: 1.2820, 1.2760, 1.2700/20
Counter-trend and scalping opportunities:
Strategy: Whilst above the weekly trend reversal level buy dips to support levels after an entry signal.

Today’s trade suggestion:
Capped at 1.3000, the euro is pausing a little before the next move higher to 1.3120. Weekly momentum remains bullish and we’ll continue to look to buy dips this week, whilst above the weekly reversal level at 1.2520. Notice that the weekly downward trend line has been conclusively broken, and this should also add fuel to a further move higher. Supports lie at 1.2820, 1.2760 and then around the 1.2700 mark. We must allow for a retest of the weekly trend-line from the top side – now acting as support, and this means we may experience a dip as low as 1.2700-1.2660. Targets for long trades are the big psychological barrier at 1.3000 and then onwards and upwards to 1.3120.

Summary: Buy dips to support levels listed above after a clear G7 entry signal, allowing for a retracement as far as 1.2660-1.2700. First target 1.3000 and then 1.3120.

EUR/USD

Weekly Trend direction: Bullish
Weekly trend reversal level: 1.2480
Key G7 support levels: 1.2780, 1.2740, 1.2680
Counter-trend and scalping opportunities: 1.3120’ish

Strategy: Whilst above the weekly trend reversal level buy dips to support levels after an entry signal.

Today’s trade suggestion:
Beaten down from the weekly trend-line as expected, but not “out” Allow for a bit more work under the trendline, and perhaps even a pull-back to 1.2300-1.2400. That having been said, we need to stay above the weekly reversal level at 1.2480 this week for the strong bullish momentum to continue, and we’ll look to buy into dips whilst that is the case. Good support levels lie at 1.2570, 1.2520 and 1.2480/2500. Watch and wait for a clear G7
entry signal before buying the euro for a rally back to 1.2700. I suspect that the euro won’t be in a rush this week,
so be patient – there will be plenty of time to pick your moment!

Update: The Euro has finally broken the shackles of the weekly downward trend line and has had a good spurt of
momentum moving higher. For today, there will be little chance to trade using the G7 system in the weekly
direction, and picking tops with such a strong uptrend is dangerous. I’m going to wait for next week to re-assess
the charts. Aggressive trades may be tempted to pick a top (not recommended) and if you MUST, perhaps wait
for a further rally to 1.3120 and wait for a CLEAR G7 counter-trend set-up.

Summary: Stay sidelined OR look for a counter-trend chance around 1.3120 after a clear G7 entry signal.