Another choppy week over as markets test crucial levels.

Another choppy week over as markets test crucial levels.

Another choppy week over as markets test crucial levels.

The Euro$ is finding it difficult to breath above 1.1500 and once again bores us with its 1.1400 habit. This entire month so far has been about this swinging in a 200 pip range between 1.1300 and 1.1500 and “whoop – whoop” where is it now ?- slap bang in the middle of it again. With a French holiday today I expect many Euro traders will be having a long weekend so I will be leaving it alone.

The Cable  (£/$) is displaying similar characteristics but with a slightly bigger swing which isn’t surprising as the “Carry on Politician” comedy continues.

Oil has had us all over the place this week. U.S Oil hit the wall at $47.00 on the 3rd of the month managed to get to $47.25, got a nose bleed and retreated. Then it fell out of bed hitting the wall the other side of this recent range at more or less $44.00.
This is clearly supported around here with some crying out for $50.

This morning around $46 it is just below the underside of my S&R level so from here it needs to sort itself out.

Gold – Not a lot to say about this.
At this level between 1200.00 and 1220.00 there is decent support and under current pressure how long that holds up I don’t know.
I am not trading this at the moment.

The $ or the Greenback, in terms of the US $ Index already on the back foot this morning. It has been extremely choppy for the reserve currency as of late and perhaps that’s why we are experiencing these current market conditions. The testimonies last night by the FOMC (Janet Yellen) failed to create any confidence in the currency despite promised rate rises later this year so it looks like the $ will remain under pressure for the moment anyway.

Yen is where I think the safe money will be headed.
I am going to keeping my eye on the $Yen market in particular.
$Yen (Rafa’d) hitting its head on an old resistance ceiling at 114.00 this week and with the $ under pressure and the flavour of the month being potentially the Yen we might just see this thing move. It will have to break 1113.00 to the downside before doing so but if that is the case then we may see it slide to around 110.00  with relative ease (and further) as investors buy it.

That’s me done for the day.

Catch up next week


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About Author

Clive Arneil

Clive Arneil worked for major brokers for over 20 years trading most instruments in the Foreign Exchange markets as well as Derivatives. Brokered deals on behalf of some of the worlds largest banks including Barclays, Citibank, UBS, Nat West and the Bank of England. Worked mainly in the UK but also in Switzerland, Germany and the U.S. Retired from the Money Market at the age of 40 and worked as a financial data feed specialist supplying market data to Banks, Brokers and Spread-Betting companies. Still trading and teaching people the skills required to master today’s volatile markets.