Dollar Index Weekly and 5-day range.
Dollar Index continues to rise towards the January highs and probably a double pattern into the February highs.
As this Index continues higher, currencies will continue to drop.
However, with the Index trading already around the 5-day highs on Wednesday, there could be a 1-day pullback.
AUD Weekly and 5-day range
With the trend breaking the 3-month 50% levels there is a possibility that the trend can continue down towards the 3-month lows during this Quarter.
Random support the Weekly lows.
But it’s not a time to go looking for ‘longs’ if below .8895
Euro Weekly and 5-day range
Break and extend pattern in the Weekly range is about to complete @ 1.3973
With only a couple of days to go until the end of the month and new monthly ranges, at this stage I favour a continuation down into February’s lows, as the USD Index continues higher.
For the next two days there is a random pattern:-
Price can remain below the January lows @ 1.4098 and then continue down.
Or there’s the possibility that there could be a swing towards the Weekly 50% level and then continue down from next week
- All Daily forex reports are written before 11.00am Sydney Time, which is approximately Midnight GMT
