USD Index Primary and Secondary cycles
As pointed out in last week's report...
My view is that the USD had found it's lows and would begin to rise upwards...
There are two possible patterns that can play out
#1) the trend continues up towards the 3rd quarter 50% level in July, as shown in the left chart.
#2) this current reversal pattern is going to fail to move higher than the MAY 50% level, and also the lows of the 4th Quarter in 2010...
The market consolidates for the next 4-weeks below these levels, and then there's the possibility that the larger timeframe support levels fail in the last month of the 2nd Quarter (June)
Euro Monthly and Weekly
We can see that the reversal pattern in the USD was going to have an affect on the Euro, but the Euro hasn't broken support during this 5-day reversal pattern (Weekly close)
This could lead into a consolidation pattern over the next 3-week's until the start of June
Next week's trend guide is @1.4332
AUD Monthly and Weekly
AUD found support on the MAY 50% level, and continues to remain above the 2011 Yearly highs @ 106.12
Based on the current price action , I would have to think that the AUD will continue higher, and move towards the monthly highs
Trend guide Weekly 50% level 1.0736
