USDJPY: The USDJPY posting a decline at the open of the trading week, in early stages of the Asian session. The USDJPY came off to 99.60, nearly 100 pips decline from the closing levels posted at the NY close on Friday. Prices have retraced a bit since and the pair is currently trading at the 100.00 levels. One alternative to play this move is to sell the pair as long as we below the Friday close at 100.60, with target objectives at 99.60 initially, today’s low, and followed by 98.85. The other alternative is to buy dips as long as we are above 99.50, with target objectives at 100.60 initially, followed by 100.86 and 101.30.
NZDUSD: The NZDUSD has closed his 2nd week higher last Friday. The kiwi dollar pair has posted a new monthly high on Friday at .7989. Weekly bias remains bullish for the Pair as long as we are above levels of .7885 and .7840. A move below those levels would turn bias back to negative. Target objectives for the pair are at .7990, the monthly high initially, followed by 0.8052. a move below .7840 would target next objective at .7750, followed by 0.7700.
EURUSD: The EURUSD has closed his 2nd week higher last Friday and is currently trading 50 pips shy of the monthly high posted July 10th post the FOMC statement. The pair has retraced 61.8% of the decline initiated at 1.3415 on June 19th to 1.2754 lows posted on July 9th. Weekly bias remains bullish for this week as long as we are above 1.3063 with target objectives at 1.3177 and 1.3203 initially, followed by 1.3253. A move below 1.3063 would turn weekly bias to negative with target objectives at 1.2990 and 1.2950 initially, followed by 1.2840.
GBPUSD: The GBPUSD has closed his 2nd week higher Last Friday and is currently trading just 20 pips shy of the monthly highs posted earlier this month on July 3rd. The Cable has closed higher for 4 days in a row now, after posting a bullish pin bar on Monday last week and founding support at the 1.5000 mark, which is a significant levels as we stated in our last week reviews. Weekly bias remains bullish for the pair and the preferred strategy is buying deeps as indicators are at overbought extremes for as long as we are above 1.5150. Targets are at 1.5360 followed by 1.5434, the 100% Fibonacci expansion level. A move below 1.5150 would negate our outlook and turn bias to negative, with target at the 1.5000 mark.