The WoRmHoLe

Daily Technical Strategist

Today's Focus: EURUSD & EURJPY

1. EURUSD: Hesitating With Downside Risk.
2. EURJPY: Building Up To Recapture The 126.09 Level.

EURUSD

After an intra day recovery pushed the pair to as high as 1.2821 level on Tuesday, EUR bounced off its channel top giving back most of those gains to close at 1.2628.The trigger for the pair's upmove was its inability to break and close below its key support at the 1.2514 level, its Feb 18'09 low and the 1.2456 level, its Mar 04'09 low. We expect an eventual invalidation of this zone to yield declines towards the 1.2330 level, its swing low from Oct'08.Decisively invalidating the latter level is required to resume its medium term downtrend towards the 1.1860 level, its Mar'06 low and then its Dec'05 low at 1.1640.Though its daily stochastics is neutral, that of the weekly is bearish and pointing lower. On the other hand, continued loss of price momentum at or ahead of the 1.2514/1.2456 area could risk higher prices targeting the 1.2706/66 level, its Feb 02'09 low /Jan 23'09 low with a break through there setting the stage for further upmove towards the 1.2821 level, its Mar 10'09 high ahead of the 1.2992 level, its Feb 23'09 high. Beyond there should leave the pair aiming at its Feb 04'09/Nov 25'08 highs at 1.3071/81 and then the 1.3298/1.3313 zone, its Jan 06'09 low/Oct 30'08 high. On the whole, we maintain our downside bias on the pair while holding within its falling channel for an ultimate move towards the 1.2330 level.
Support Comments
1.2514 Jan 18'09 low
1.2456 Mar 04'09 low
1.2330 2008 low
Resistance Comments
1.2706/66 Feb 02'09 low /Jan 23'09 low
1.3000/1.2992 psycho level/Feb 06'09 high.
1.3071/81 Feb 04'09/Nov 25'08

Havnt we all jim ,no ones right all the time that would be impossible,lol
If I was half as good as you id be happy.

eRk .. 126.09?I hope not. I'm holding short from 125.09!

The three mountain tops is still in play on the 4hrly & I have this pair still within the channel on the hourly. I will pull the plug on this trade should the price break and clears the top of the tl & the 3 tops of the 4hrly. But I hope I don't have to do so Let's see how this pans out.

I think we have just a pause here, little data till the end of the week really. Need to establish new low before we retrace with significance and establish some new momentum. Time with small moves will pull momentum indicators up as well as a major price movement. We have one more punch left by Sunday and close of the weekly candle. Just a small jog up for now.....My take

Very good I think the same

Hey wormboy,

I am invading the wormhole again...

I think we are shaping up for a bullish daily close which could take up to 1.40xx... Let me know if the buy button is repaired....

When wormboy wants to buy, he just turns his charts upside down, and the prices are moving south again. Problem solved!

Heyyyy. If she clears 3900 level there is a possibility we're on our way back up, but only as far up to 4150 level. That is where the bus is parked imho.
But, I'm like you guys, I try my best not to predict anything. Just trade the direction & follow the money

oi!

Welp, dragon still fail to close below 133.25 today. I am still looking for this beast to clear this level before I amend my stops again & possibly add to position. Guess we'll have to wait wee bit longer. Good luck everyone

Seems the three mountain tops & the hourly channel are still in play.
I will look to fully amend the stops once price closes in on 123.3 level as originally planned yesterday, tho I have shaved 20 points off the original stop since price is inching lower albeit slowly.
short @125.09 [email protected]

I'm off for now. Will be back london session. Good luck everyone

euro seems primed for a sell off

they will want to kill the early shorts wait for a spike north and sell into it

Posted Wednesday, March 11, 2009

FXstreet.com (Barcelona) - After it broke the 98.15 support and fell around 100 pips to the 97.20, the USD/JPY has been rebounded above the 97.50 level to the 97,75. Currently, the pair is trading around the 97.35/55, fighting to be below this level.The Dollar has dipped further on its retreat from yesterday’s high at 98.90, and the pair has broken 97.90 support and it is pointing to the 96,56, monthly minimum.According to Valeria Bednarik, FXstreet.com Collaborator, the USD/JPY has gained bearish momentum: "After finally breaking the base of the daily upside channel, the pair has gained downside momentum, reaching as low as 97.21 before halting the fall. Indicators remain clearly bearish, and under today’s low, next support will be at 96.56, current month minimum and key inflection point. First approach to that level, should offer some rebound due to dip buyers, yet clear break under it, will change the pair bias in the longer term, setting a 400 pips target (the height of the broken channel) to the 93.00 zone."



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Missed it by that much.......LOL Good Evening everyone. I see I missed 3900 call by 12 pips...
Oh Darn, Ill take the pips anyway got 2 swing trades and 1 breakout to post, stand by.

AJ

Sell EUR/JPY @ 123.99 with stop @124.89 and T/P @ 123.05

Trade at your own risk

Sell U/CAD @ 1.2722 with stop @ 1.2782 and T/P @ 1.2660

Trade at your own risk

Sell USD/JPY @ 96.30 and Stop @ 97.30 and T/P @ 95.00

Trade at your own risk.

Still on the path for retracement to 38.6% and 50% before rebound..