After its break-out of the triangle formation in October 2016, it has meanwhile reached the first target at 111.55 and even advanced further to a fresh 10-month high to 118.60 area. The move was pretty steep and quick. A bit too steep for my taste. But, some consolidation followed and USDJPY has likely completed it as it retraced 38.20% of the whole move which is equal to the major fibonacci retracement level (!). In my opinion, USDJPY is now ready for another major upleg as it has broken out of the consolidation (channel) along with a break of the momentum resistance line. I see further upside potential to 125.80 (old high) and 131.80 (fibonacci trend extension). I would not be surprised if we see again a very steep and quick move.
Conclusion: Second major upleg ahead with upside to 125.80/131.80 (+15%).
Along with our last week’s roadmap, USDCHF, GOLD, COPPER, CRUDE OIL WTI printed new highs meanwhile the Treasuries (Bund & US 10Yr), EURUSD, EURJPY, GBPUSD, AUDUSD slipped to lower levels and Equity Indices remained in consolidation mode as anticipated.
Highlights (Week 37):
DAX30 – make-or-break!
SMI – caught in the middle.
S&P500 – 1920 to hold?
EURUSD – further downside to come.
GBPUSD – to bounce or not to bounce?
EURJPY – bottom in sight?
USDCAD – do not chase upside!
USDJPY – was that the top?
GOLD – too early to turn bullish.
COPPER – bottom found?
CRUDE OIL WTI – to proceed its bounce?
As anticipated in our last week’s “Technical Weekly”, we expected further downside in DAX30 and SP500. Also according to our last weeks release, the German Bund and US-10 Year Notes have proceeded to higher highs along with EURUSD, USDCAD and Gold. Moreover, Crude Oil WTI has reached our suggested support at 38 and rapidly rebounded as expected. For the upcoming week, we have several make-or-break scenarios especially on the Equity Indices side.
Highlights (Week 36):
DAX30 â€“ retest of recent lows to be expected?
SMI – is the panic over? New highs in sight?
S&P500 – trading at 50% retracement, now rebound to all-time highs?
GERMAN BUND – to proceed to higher highs?
EURUSD – to drop to 1.09?
EURCHF – swiss franc to weaken further?
USDCHF – parity in sight?
USDCAD – sky is the limit?
GOLD – proceed its rebound?
CRUDE OIL WTI – bottom found?
Highlights (Week 35):
DAX â€“ further downside expected?
EURUSD â€“ taking a short breather.
USDCHF â€“ make or break?
EURJPY â€“ more upside to come?
Silver â€“ intermediate reversal?
Crude Oil WTI â€“ still bearish but…
Read our report here: REVIVE-INVESTMENTS-WEEKLY-35-2015
Highlights (Week 34):
DAX – downside limited, further upside expected
USDCAD – rapid breakdown ahead
EURJPY – short-term upside expected
Crude Oil WTI – further downside expected but limited
Gold – ready for an intermediate rebound
Read full report here: REVIVE-INVESTMENTS-WEEKLY-34-2015