Weekly Review--112011
EUR/USD: The downside objective has been fulfilled, but that still does not tell us it is over. The upside back to circa 1.3931 has not been. There is potential for a continued downside move towards to 1.3260. Anywhere between current level and 1.3260 should signal the move north towards 1.3931, and maybe beyond. Conceptually, and in the longer term, this pair should now be headed to 1.2130. The next strong leg north should be it, and then we head south to break whatever the dip is on this leg.
For this week, we could see the move to the WS2 at 1.3299, and even a spike to 1.3260. It is also possible to see a strong push from current level, and send this pair rocketing to the WR2 at 1.3725, and beyond. This is a tough call for the week, but the favorable route would be to start the week with a move to the WS1 at 1.3405, then see the bulls takes over for the rest of the week.
We dipped as low as 1.3211.
USD/JPY: The pair should start off the week with a mile move south towards the WS1WS2 area at 76.6776.44. Anything to the north should be limited to the WR2 at 77.36, which is a strong cluster event.
The dip was right in between my points at 76.56, and then the reversal took the pair to The reversal took out the cluster event with a strong 4-hour candle, as the peak was 77.81.
GBP/USD: MT, this pair is still on its way to the bottom of the weekly cloud at 1.5545, and then to 1.5236. The WS2 is 1.5556, so the bottom of the cloud could be hit this week. Any move north should be contained at the WR1 at 1.5895.
Its still moving as this weeks dip was 1.5422. Northern lights were well contained as the peak was 1.5796.
USD/CHF: This pair is reentering an area that could yield a very strong reaction at the WR2 at .9325, if not the monthly tenken at .9399. Until we get the strong reversal, .9104 contains.
The pair was stopped dead in its tracks at my WR2 as the peak was .9329.
EUR/CHF: The bottom of the weekly cloud, currently at 1.2713 will still yield a strong reversal. It just seems like it is taking a long time to get there, because the pair is taking the local going east.
There was a bit of a shakeup this week as the dip was 1.2249, then quickly reverted to the peak at 1.2379.
AUD/USD: If the bottom of the daily cloud at .9938 does not contain price action, then the pair is headed to .9700. LT, it appears this pair is headed to .8332. This week it is likely that the WS1 at .9900. The move north will be contained at the WR1 at 1.0108, and possibly the WR2 at 1.0211.
This pair did make it to .9700 this week as the dip was .9663. The move north was contained by the WR1 as the peak was 1.0013.
USD/CAD: This pair has gone from what used to be a strong correction mode to being back in the strong move north. We will need a convincing break of 1.0241 before any sign of a reversal. That level is also a distance from the WS1 at 1.0207. The next strong S south is 1.0190. A strong cluster S is 1.0062.
We need got even the smallest of signs for the reversal as it moved north all week to the peak at 1.0522 that was established on Friday.
NZD/USD: This pair is in for some strong one-way moves. The bottom of the weekly cloud at .7340 is MT containment, while containment heading north is around .7960. As for this week, a correction of the current DOWN could be needed. Look for the WR1 at .7664 or the WR2 at .7766 to contain.
All that was needed for containment was the WR1 as the peak was .7575, and the dip hit .7369, just 29 pips away from MT containment.
EUR/GBP: The WR2 at .8604 is a major decision point for this pair. The bottom of the weekly cloud is still containing, but that does not mean it wont give out, especially with increasing pressure coming from the monthly. If the bottom of the weekly gives out, then we are headed to .8167.
The WR2 did decide, which was some incredible whipsaw action, as the peak was .8658 and quickly reverted to .8544.
EUR/JPY: There could be some further downside to explore for this pair, but look for 102.32 to contain. What is really going on is that this pair is preparing for what is going to be a very strong leg that will go to sub-100, and even into the 80.00s. Once we make it to circa 102.32, look for there to be an interim move north to the weekly kijun at 109.31 or the weekly bottom of the cloud at 114.37. This week the upside is probably limited to the WR2 at 105.75.
This weeks dip was 102.48, just 16 pips away from the MT reversal point.
GBP/JPY: There is now potential for a further drop to 119.35. For this week, watch for a reaction at the WR1 at 124.53. We could see a move in that direction to start the week.
This weeks dip was 119.37, just 2 pips from the potential target.
.. as will USD /CHF...