Greetings again, Everyone!

With the “Risk Appetite Day” we are involved in, a detailed look at The Fiber reveals quite a bit about current Sentiment.

Various Confluence and Cluster Levels can be seen as Price moves on the Monthly through the Hourly Time-Cycles.

Here are the Captures, so give them a Click as always.

Post-Time is 17:00 GMT.

Our Long-Term Monthly sees Price just above the 50% Fib Variant Confluence Areas in what may be seen as a “loose” Bear Flag Pattern.

The Weekly gives us more Clarity with a larger Double-Bottom Formation here that would have given us an Indication of Sentiment back in February as it continued to form.

The Daily gives us a nice Consolidating Range with the 38.2% and the 50% Levels providing Dynamic Support and Resistance Areas.

The Hourly continues to use a 50% Fib Variant as a “Transitive Rollover” point turning from Resistance to Support… as Price continues to “Rest” a bit and consolidate.

This is certainly one of the joys of using Multiple Time-Frame Analysis… when we can find many Common Denominators with the “Anchoring” and “Structure” of Price as we move along!

We are about 3 hours from The NYSE Close, so I will certainly be back with you as we round out this Day of overall Risk Appetite!

Greetings again, Everyone!

We are seeing The Dollar and Yen continue to Correct across most Currency Units, as well as Gold and Oil, despite continued Macro-Uncertainties about Global Economic Recovery.

Many Units are still finding “Basing” and Consolidating Behavior with Technical Formations such as Flags/Pennants and Horizontal Ranges, although within these Areas clear IntraDay Directionality is being Seen.

Similar to The Euro, Crude Oil is seeing a burst of Bullish Momentum, despite Price simply arriving to clear Static Resistance Levels within a larger Range. The Confluence of the July 2008 Weekly 23.6% Fib Variant and $60.50 Resistance is holding Price to the Upside, and if the Area is Breached, a new “Transitive Rollover” of Resistance-becoming-Support will be in Place, although any true Bullish Momentum in Crude will be considered in a :Counter-Trend” Fashion…even if Price moves beyond the $61.35 Range/Resistance Zone.

Here is The Hourly, so give it a Click for Various Levels.

Post-Time is 7:40 GMT.

The EUR/JPY is indicative of slight Risk Appetite returning to The markets, as we have our Equities Correlations back Intact… not to mention “Cross-Current” Correlations with Global Equity Exchanges such as The FTSE… which is up about 3% at The London Open.

Price looks towards the 130.60’s/80’s Static and Dynamic Resistance Levels, as Price Appreciation pulls out of the 127.80’s to 129.00 Hourly Range. Further Appreciation sees the 131.40’s in the Near-Term, while Failure to Hold the 129.00 Handle of Static Support will see the 127.80’s for multiple Hourly Tests of the Area.

If this Behavior is Seen, the Tests will weaken Support and a potential Breach towards the 127.00 Handle in the Mid-Term would be plausible.

The  “Currency Majors Technical Perspective” Report  has been published for Immediate-Term Details on The Majors, as well as the new Installments of The Fundamental Forex Foundations Section for Data Point Releases today and tomorrow of PPI and CPI.

The Retail Sales and Business Inventories Reports will be published as soon as possible, and I will have those Links for you as soon as possible!

Please join me for more Updates moving forward, especially as we move towards Data Point Releases at 12:30 GMT.

In the Interim, keep a Mindful Eye on CPI out of the U.K. in about one hour’s time!

Greetings once again, Everyone!

In The Near-Term, we are seeing “Digestion” in most Currency Units of today’s Macro-Data as The BoE Holds their Overnight Rate and also keeps their Q.E. Program unchanged for now, U.S. Jobless Claims beat Consensus but Continuing Jobless Claims kills that Sentiment, and our “Back-and-Forth” Friend, China, returns to the World with more Rhetoric on Diversification of the World’s Global Currency situation.

The Dollar and The Yen retreat a bit and in my personal View… would have taken place from a Technical  Perspective irregardless of any Macro-Data or Rhetoric in the first place.Currently, we are once-again seeing IntraDay Reversals as U.S. Equities and Indices flatten a bit and lose Momentum… and The Yen returns to pick up a little Strength.

Confused?… Do not be.

One word explains it all!… Consolidation.

As we discussed last night and in many instances in the past, when we see such intense Price Volatility and Momentum, we realize Price cannot operate in this fashion indefinitely.

Just like you and I climbing the mountains, Price needs to “Rest and Reprieve”… have a snack… grab a drink… whatever!

This is still fairly evident across most Units with Bear Flag Patterns on various Time-Cycles…. and now that we have spent some time in the actual “Flag Forming Progress”, we can see these types of Behaviors with more clarity.

Let’s bring in The Queen and Her Cousin, Pound Yen again… since it was BoE Day today… 

Give The Captures a Click, as always, with Commentary above, and Post-Time is right about 15:15 GMT.

The Bear Flag Formation is clearly evident on the Hourly now, as we see the BoE and QE Data providing Impetus for some Pound Strength.  

The Daily Uptrend that we initiated from March is still Valid and “anchoring” Price, as we push through Initial 1.6200 Static Resistance forming a “Transitive Rollover” Area.

Now, “Full Completion” of The Flag will see the 1.5250’s obviously in The Mid-Term… so The Key here will be to see if Price can Clip back through The Flag, and at least Breach the Dynamic Confluence Fib Variant Support @ 1.6085. The Flag will be on Its way again as we then Breach the Daily Lower Uptrend Channel Line.

In this Case for The Pound Yen, we have a more “Subjective” Bear Flag here that is foreshortened, albeit with the same “Function and Behavior”. Full Completion here sees  The 137 Area… surely possible… but Continued Yen Strength in this Sense will assuredly provoke a Response from The Bank of Japan concerning Intervention.

In any event… The Breaching of The Daily Lower Uptrend Channel Line ( also acting as our Flag Top here)  calls for a “Re-Test” of the 146.70’s Lows yesterday in The Immediate-Term…. where then the 146.00 Handle is surely In View.

So let us see how these Patterns fair, and also if we see any sort of Recovery in Sight towards’ Today’s Closes here on these Units… so more Updates to come!

Of course… there is One Caveat moving forward…

As long as Crude Oil continues to get slammed, and adding fuel to The Risk-Aversion Fire… our Two Friends, The Dollar and Yen are not going on Holiday anytime soon.

Greetings Everyone, and Welcome to Thursday!

With The Massive Risk-Averse Volatility and Strength of The Yen and The Dollar, IntraDay Perspectives surely felt some Heat moving through the most recent Trading Sessions.

We have discussed the Macro-Economic Issues of these At Length all week here on The Blog, so we do not need to revisit them.

In my experience, we see certain types of reactions to Rapid Speed and Momentum of Price Action…. one of them is what I call “Tunnel Vision”.

As I mentioned on the previous Post, The Concept of “Chasing The Trade” comes into Play as Price illicit an almost “Emotional” Response.

As I always say, I do not have issues with any Type or Style of Trading that one may prefer… as long as Risk Exposure and Parameters are consistent for that individual Trader.

With virtually all Units today from an IntraDay Level, if proper Stop Placement was utilized then  a Fractional Loss was had and we move on to Trade Another Day.

The “Speed” at which The Yen surged was only in about a 4-Hour Window, where the 400-500 Pip Moves are certainly not a regular occurrence…. OR Are They???

Here is where my “Rhetorical” Question comes in once again…

“Was The Yen Surge today a big shock and surprise?… Crude Oil?… Gold?… The Queen and The Euro?…”

Let’s have a look and see some Indications of “Market Memory” that may provide us with some Insights.

Here are The Monthly Views of Crude, Gold, The Fiber, and The Queen, so give them a Click for Clarity as they are rather “Compressed” with The Fib Variant Extensions and Projections.

Post-Time is 2:00 GMT but of course on Monthly Views… We really do not have to worry about “Accurate” Time!… hee hee hee…  

Gold looks to The Fib Variant Projection here stemming from the March 2001 Low to the May 2003 Spike High, giving us a “relative” 38.2% to 139.2% Projected Area.

We could have “anticipated” the relative Price Action here… so let’s see how we fair on Crude.

Crude provides even greater “Accuracy” here with the massive Bear Flag Formation as Price reaches the Fib Variant with a Variation of about 40 cents… nice indeed!

… And The Queen?… Jackpot for Her Majesty!

How about The Fiber ?…  A little more “Subjective” depending on where use wish to Fib from… I tend to work with Clusters and Confluence all the time as all of you well know, so I chose both The Upleg and Downleg Variants.

We still get a “Close” 90-Pip Variant Range here…

So there we have it!

By incorporating Longer-Term Views in your Work, you certainly do not have to be an Active Position Trader!

It is all relative, and like everything else in Life…

We can usually Find Out Where We are Going By Remembering Where We have Been…

Please join me, as always,  for the 6:30 GMT “Currency Majors Technical Perspective” Report, so I will see you in a few hours!

 UPDATE @ 8:00 GMT:

The “Currency Majors Technical Perspective” Report  has been published, and we are already seeing signs of Accumulation as we have Hourly Bear Flags across many Currency Units!

Keep an eye on these Retracments, as even on The Majors, we are seeing potential “Breaching” Activity that is already “Negating” the Formations. As always… these can be “loose” Formations and certainly do not have to be “Textbook Beautiful”… as long as they hold their Function.

Please have a visit on The FXstreet Calendar and Home Page as our FXstreet Advisor and Myself bring you another “Action-Packed” Edition of “The Bank of England Interest Rate Live Coverage” @ 10:45 GMT!

See You Soon and of course, plenty of Updates to come here on The Blog today!

Greetings, Everyone and Welcome to Tuesday!

We closed the U.S. Session with no real “remarkable” Data, Behavior, or Events to speak of ( hence no U.S. Close Post from me … ), and we are simply still working with Risk Aversion on the back of Strengthening Dollar and Yen Tendencies at this point.

The Negativity “bleeding out” from Wall Street is seeing Depreciation in the Yen Crosses, especially, as of this Writing. While the IntraDay Behavior may look “extreme”, we are still adhering to Support and Resistance Levels as most Units see Downtrend Channel Behavior in the Immediate-Term.

We check in with the GBP/JPY again, as well as bring in The USD/CHF to check on the “Dollar Strength” of this Risk-Averse Equation.

Here are the Hourly Views, so give them a Click for Various Levels  with Commentary above, and Post-Time is 1:30 GMT.

The Pound Yen sees Continuation of the Right-Shoulder Depreciation we spoke of in the 15:00 GMT Post yesterday, as the Daily Head and Shoulders Formation continues.

Price is resting on the 38.2% Fib Variant with Dynamic Support at the 155.80’s Area.  A Correction “north”should see the 157.30’s Resistance and if Rejected… Price sees a Bear Flag Hourly Formation from the 159.60’s Highs.

If Violated, the “loose” Hourly Triple-Bottom Formation may see Price climbing back to those said Highs in the Near-Term.

Flag Continuation sees the 155/154.80’s Clipped to the Downside as Bearish Sentiment continues.

The Swissy sees Bullish Sentiment on the Hourly View in a Clear Uptrend Channel, albeit somewhat “Mixed” with the Ranging Consolidation from the Hourly Double-Bottom Formation.

Fib Variant Confluence Areas are providing Dynamic Support and Resistance, while Bullish Sentiment will remain out of the 1.0760’s-1.0890’s Range if the 1.0920’s Resistance is Seen and Held in the Near-Term.

Please come by for a visit for the 6:30/7:00 GMT “Currency Majors Technical Perspective” Report, for some Immediate-Term Techs on the Four Majors. A Blog Update will follow, as usual, so I hope Everyone will come by as we move into The Day!

Greetings Everyone, and Welcome to Monday!

We begin the Week on a rather Benign Note, as Market Consolidation and Range-Bound Considerations still prevail.

While most Majors begin the Week inside of slightly Bullish IntraDay Channel and Price Behavior, we are already seeing Rejection of many Static and Dynamic Resistance Levels as we Work in the Asian-Pacific Sectors.

Here are the Daily and Hourly Captures of the Unit with Commentary above, so give it a Click, as always.

Post-Time is 1:00 GMT.

As we spoke of briefly in Saturday’s Post… The Units is dealing with some “Conflicting” Technical Factors with the failed Head and Shoulders Daily Formation, along with the Daily Bull Flag Formation.

The Behavior is already seeing Downside-Risk Pressure back down through 1.8940’s Support.

The Hourly is seeing this Price Action with Clarity, as we move through the Lower S.D. Channel Line to the Dynamic 1.3900/10 Support Areas. Working from the Hourly Double-Top Momentum, a Breach through this Level sees the larger Uptrend Line/Static Support Confluence at the 1.3850’s In Sight in the near-Term.

The “Conflict” here is we still need to “Arrive” at the 50% Fib Variant Area @ 1.3600/10 for Technical Flag “Completion”… and on the other Hand… we may still remain in Accumulation unless the 1.3870’s is Breached or the 1.4000 Handle is Violated for any Significant Market Direction in the Near-Term.

As always, please join me around the 6:30/7:00 GMT Hour for the Currency Majors Technical Perspective” Report, as we move in for more Immediate-Term Detail on The Fiber as well as the other Three Majors.

Enjoy the rest of your Sunday, and I will see Everyone in a few Hours!

Greetings again, Everyone!

The Markets see some slight Buoyancy out of the IntraDay Consolidation Areas, as Price chooses some Directionality in most Currency Units as we transition from the Asian Session into the European Session.

EZ Equities are bidding slightly higher, and The Queen is taking advantage of this Momentum… as is the Euro Pound.

The Commodities of Crude Oil and Gold will give us a bit of Immediate-Term Insight concerning The Dollar Strength and Weakness of most Majors as we move ahead.

Major potential Catalysts today will certainly be U.K Retail Sales ( which will directly affect these Two Units…), as well as U.S. Jobless Claims and Leading Indicators.

When Price sees Macro-Consolidation as we have seen all week… It looks for any Impetus to Clear Congestion and Clip Ranges for “New Re-Positioning”.

Here are The Hourly Views, so give them a Click for Various levels, as we have Commentary above, as always.

Post-Time is 8:15 GMT.

Cable is trying to Break this Clear Range of Consolidation here as evidenced by the increasingly Longer Wicks, as Price needs a Catalyst through the 1.6507 Daily Static Resistance for any real Bullish Sentiment to re-enter The Market.  We do have an additional Momentum-Push here coming “indirectly” out of The Crude Oil Rebound, which is affecting The Dollar.

Unless Price can Clip and remain above this Resistance Area, then The Queen sees potential for Depreciation through the 1.6290’s “Transitive Rollover” Support to the 1.6200’s in the Near-Term.

Euro Pound seeks to take advantage of The Hourly Descending Triangle, as Price builds Energy and Momentum to Clip the Triangle Base @ the .8490 Area.

If this is Seen with Significance, a Return to the Downtrend Channel Area-Break is certainly possible in The Near-Term… as Price then looks to Clear the .8420’s Hourly-Low here in this View. A Negation of The Triangle to The Upside sees a return to the “Larger” .8550’s/60’s Resistance in the Immediate-Term.

As we see this Price Sentiment, have a look at The  “Currency Majors Technical Perspective” Report  just published for more Immediate-Term Detail, and I will be back with you, as always, throughout The Trading Day for more Updates!

Let’s See if Price can Clip o few of these Ranges we have been Working In all Week!

( P.S. - My Apologies for the slight Delay with The Report and this Blog Update… Time escaped me a bit!…  )

Greetings again, Everyone!

We see EuroZone Equity Futures Builds bidding a bit lower coming out of the rather “Neutral to Positive” Asian-Pacific Sectors. The CAC40, FTSE, and The DAX are down slightly, as The Euro looks to Dollar Weakness within Its Correlating Relationship with Its own Equity Desks.

( EZ Markets now open…with Equities largely bidding a bit higher… )

We keep an eye out later concerning Macro-Data Points for the U.S. CPI to help to Maintain or Reject Dollar Sentiment moving throughout the Day, but in the Interim, The Euro Appreciation rides on the back of the Macro-Daily Head and Shoulders Formation… which looks to the “Neckline” Area of 1.3800 Figure Daily Static Support.

Here is The Daily and The Hourly View as we begin The European Session, so give The Captures a Click for various Levels of Reference, with Commentary above as always.

Post-Time is 7:20 GMT.

Here is a Clear View of The Daily with Long-Term Trendlines of Focus, and The Head and Shoulders Formation with Neckline Areas easily delineated.

 The Hourly View gives more Clarity, as Price is “Anchored” by Its Uptrend Channel and looks to the Daily May 18th Upleg 50% Fib Variant for Dynamic Support in The Immediate-Term. A Breach here sees the 1.3850’s Support probably Cleared, as Price looks for Downside Contact with the 1.3800 Daily H&S Neckline Support.

Bullish Build will find the Area Attractive, as Price then looks to Clear the 1.3930’s Dynamic Resistance in The Near-Term.

Please feel free to check the just-published  “Currency Majors Technical Perspective”  Report going right along with this Post for more Immediate-Term Detail on the Four Major Units, and please join me as always, for more Blog Updates to come as we move along!

I hope to see all of You soon!

Greetings, Everyone and Welcome to Tuesday!

With Risk Aversion clearly back in The Spotlight, my earlier Thoughts in yesterday’s Posts on The Yen finally being “The Leader” of our two “Risk Aversion Brothers”… as The Yen reverse the “Built-In Momentum” of General Weakness and uses it to Its own advantage.

The “Global Rhetoric” of late is surely still playing a Role with both The Dollar and The Yen Strength…and even with Global Equities hearing “Talk” of the recent Rallies being “Too Much Too Fast”… which of course will be Bullish for both of these Units.

Let’s check on some of the Yen Crosses and measure the current Deep Strength we are seeing in The Asian Session as of this Writing…. as we have plenty “Transitive Rollover” Areas to consider.

Here are the Daily Views of EUR/JPY and GBP/JPY with a rather Similar Perspective in the Immediate-Term for both Units.

Give the Captures a Click, and we have Commentary above as always…and Post-Time is 1:30 GMT.

The Euro Yen looks to the 133.30’s Dynamic Support to possible slow down this “Freight Train” of Price… although additional Strength may take us to the Trendline/Support Confluence Area as well.

Bearish Views surely enjoyed The Day… although taking Positions now would be Ill-Advised as Accumulation leading into Consolidation is highly Probable.

The Bulls may look to be Loading The Munitions” soon for such Attractive Price Points to work with… but just like The Bears… Observance is essential at these Levels to see how Price Behaves moving forward.

The Pound Yen sees similar Directionality, as Price is a bit “Shallower” on the Correction considering The recent Pound Strength… as opposed to the “Heavy Weight” of The Euro above…

The Ellipsed Area may may hold Price… as the 155.00 Handle is deeply Solid Support.

As always, please join me around 6:30/7:00 GMT for The “Currency Majors Technical Perspective” Report as we look into The Majors with Detail… as well as another Update where we will drill down to the Hourly Views as Asia marches on into London and Europe!

Please join Me then!

Greetings again, Everyone!

We arrive at The Opening Bell of the NYSE, as The Dow and S&P 500 are in “Flat to Slightly Positive” Territory.

Short-Term Bond Yields continue to Rise and subsequently are increasingly Negative for Equities and The Dollar, as Rhetoric for increasing Interest Rates is floating around out there as well.

For our Needs in The Currency Markets… one thing is deeply Clear.

The Dollar is Out of Favor.

Period.

The Macros concerning The Majors… Inflationary concerns in Europe… the Political Turmoil in The U.K…. The Bleak Economy in Japan… are all really irrelevant at this Point from an Immediate-Term View.

Market Sentiment is simply Dollar Negative… so We simply Work with What We See.

Let’s check in on The Fiber  and Cable… ( the Recovery in Crude Oil and Gold has provided Inter-Market Buoyancy to Dollar Weakness as well… )

Give The Captures a Click for Levels of Reference, and Post-Time is 14:40 GMT.

The Fiber looks ahead to Static Resistance at the 1.4000 for another Hourly “Re-Test” there… and in my personal View…  Counter-Trend Positions will find some Difficulty here as One works against the Daily Uptrend.

Alternatively from the IntraDay View… if the Range of 1.38 to 1.40 Holds… any Counter-Trend Views may be Viable for working within the Area, as Range Traders and Faders enjoy these types of Environments that are Complimentary to their Work.

The Queen regains Bullish Momentum, as She continues to slam Her Arch-Enemy, The Euro!

On Her own… She pulls ahead through the “Transitive Rollover” at the 1.6200 Area, as Price accelerates out of our Ellipsed Area from yesterday… and looks to Clip the Upper Channel Trendline as well as meet the Weekly June Downleg 1.6340’s 61.8% Fib Variant Area.

Of Course and As Always… Be Mindful of Market Reversals… as Trend Correction is Attractive to Bullish Builds coming in with more Fuel for The Trends… as well as providing Opportunities for Counter-Trend Activities when Consolidation and Continuation is Seen.

As always… I will be back with you as we move along on a Day filled with Movement and Volatility for a Fine Climate for Us to Work Within!