US dollar made another move below 90 this week, just to reject it strongly, maybe for the last time. My target of 94-95 now looks to be near, so this week might be good to look for good entries on EU shorts. On UCHF, my target of 9100 was hit this week, so I will leave this pair alone now and focus on the others, which didn’t make their big move yet.
The biggest surprise last week was the jump on pound of over 100 pips during asian session, which didn’t move EU at all, at the same time. I suppose, it was the only way to end this bull trend, to wipe out as many shorts as possible, before a big downmove. Looking at the chart, 3450-3500 now looks as a good level to wait for, even though GU was showing some signs of bullishness on friday, after breaking 3900, so a little retracement may be in the cards.
AU and NU had the biggest daily bear candles on thursday and friday after a long time. When it almost seemed impossible to stop the bull on AUD&NZD, 8000 did the trick on AU, where smart money had obviously a lot of orders placed. It took a long time with fundamentals to catch up with technicals on these pairs, but they should be both in bearish mode now, so definitely too risky to start buying at the moment.
The main pair to watch next week is EU. The week closed at 2070, a little overstreched bearish move, so I am expecting a little correction upwards first. London fix was 2140 on friday, very strong bearish action at those levels, so that would be my first place to look for shorts, if it manages to go up there. Second would be 2160, which was London session top and third 2185, which was asian session top. So early in the week, it will be interresting to watch how high bulls can take it, before bears take over again. Bear targets are still the same, 1920 and 1770, and we might finally be heading for them!