30 July 2013

EUR - We did retrace lower as mentioned and now have a D evening star pattern, albeit weak as RSI has not crossed its signal line lower and we are above the 8lwma. The 4hr negative divergence might have played out. 1hr is on lower high. If this is a pause in uptrend on D we would need a 1hr higher low to confirm, this is forming pre Frankfurt open. No bias can go either way.

GU - D closed negative for an evening star pattern off a proven resistance level (July '12 low, 11/12 Apr high), RSI crossed lower and below 8lwma. Price failed to go higher for a week so everything appears in place for a trend change. 4hr 3 bar reversal off the highs yesterday with the negative close. 1hr has made a lower high and lower low. Bias down.

EJ - D closed negative but a small range day. 4hr RSI crossed up yesterday and we have positive divergence, this may have played out with a move up in Asian session. Approaching yesterdays high and the support/resistance area 130.50, this would be an area where a move back down may happen.

EURAUD - D closed positive on the back of a move up around London close. from there a 200 pip move up on AUS news. The next resistance level I have is 1.4900. Bias up.

AUD - D closed negative for an evening star pattern. Big drop on the AUD news, bias down.