USD Dollar Index
As pointed out last week, the USD index likes to rotate back towards the monthly 50% levels as it nears the end of the month
If Friday had closed above the Weekly 50% level, then I would favour a move back towards the November 50% levels.
Because of Friday's price action, the USD index can begin the week with a push back down.
We are coming into the end of the trading year, and the thing we need to keep in mind is whether the price is going to continue with the same trend in 2010, or actually rotate back towards the Yearly 50% levels for 2010.
If the trend is going to continue down then price will push back down from the December 50% levels.
If the yearly 50% level reversals are going to happen, then price will be above the December 50% levels and continue towards 80+
AUD monthly and Weekly
Because of the USD index, i'm not sure whether the AUD has a lower weekly open and rises back upwards from the Weekly 50% level over the first 2-days.
Or Monday opens below the Weekly 50% level and continues with the down move, as part of the 4th Quarter highs and price is rotating towards the 2010 50% levels at lower prices.
At this stage I have to treat AUD based on the Weekly 50% level, along with the 5-day 50% levels.
And I'd keep an eye on the price action in the S&P 500 over the first 2-days.
Euro Monthly and Weekly
Sadly Euro didn't read the Weekly highs last week, and at this stage i'm not sure whether price is going to rise on monday and complete the move upwards, or continue down into the 3-week lows.
If monday is trading and closing below 1.4787, then this will put more pressure on the Euro for the rest of the week:- random pattern into a lower friday close.
GBP monthly and Weekly
larger timeframe support levels at lower prices, but those levels will need to be confirmed by a Friday close above those levels. (weekly lows)
Once again i'm not sure whether Monday will swing upwards:- 2-day back towards the 3-day cycle highs....
or price continues down below the Weekly 50% level and follows the last week reversal pattern back towards the monthly 50% levels.
