EURUSD: The EURUSD closing higher yesterday for a 4th day in a row, and posting a new monthly high at 1.3162. Bias remains to the upside tough indicators are at overbought extremes. Only a break below 1.3140 would flip near term bias to the downside. So our call is being bullish the EURUSD, leaving room to buy weakness. Next target objectives for the pair are at 1.3290, followed by 1.3320 and 1.3350. A move below 1.3140 would negate this outlook and require reevaluation of price action.
NZDUSD: The kiwi is coming off the monthly highs posted yesterday; The NZDUSD began declining at early Asian session, retracing all of yesterday’s gains and is currently trading near the opening prices of the week. A move below .7886 would flip weekly bias to bearish with target objectives at .7828 initially, followed by .7760. An alternative scenario is a move towards yesterday’s highs initially at .8010, followed by .8053 as long as we are above .7886.
XAGUSD: Price action in the silver has been minor yesterday, closing the day nearly unchanged after posting a long bullish candle the day prior. Recent moves seems corrective to the bearish trend the silver is at, but a break below 19.50 is needed in order to confirm resumption of the bearish trend and initiation of the next leg down. On Monday the silver has posted a new monthly high at 20.59, the preferred strategy is being bullish the silver, leaving room to buy weakness as long as we are above 19.50, with target objectives at 21.30 initially, followed by 22.03.
DAX: Price action for the German DAX has been minor this week after closing higher for 2 weeks in a row. Weekly price action is nearly unchanged and could be an indication of exhaustion. A move below 8283 could trigger a deeper setback for the index with target objectives at 8212 and 8135. Alternatively a move above 8385 would target 8446, followed by the all-time high posted on May 22th this year.