EUR dropped heavily with today's open and started this week with a huge gap lower. Seems that EU economy is quite more worse than mr. Draghi and other financial ministers keep trying the whole 2014 to convince us. Now the politics take part in the game trying desperate to save the EU economy. mrs.Merkel says Greece may be kiked off the EU zone soon and this has turned the market into a strom field. It is good to know that such news throw the market into panic and economic data has no matter. So despite not everything is perfect over the Atlantic, the dollar will continue to rule this month and may be a lot ahead too. Let take a pure technical look now. Well, the situation is extremely bad as my broker's server could not close the opened positions in time. Many SL were hit and 1.2000 level is broken, this wouldn't happen without the help of the politics. And the politics are saying the most unexpected things at any moment (or unexpected for the most players only) i am sure Bundes Bank has already made a huge profit of this and will continue to make more. All EUR indicators are ultra bearish on all time frames - you cannot see such a thing frequently. All pullbacks to 1.2000 will be used to open new short positions, you should forget going long for now and maybe for a long period of time. We have dropped even below the June's 2010 bottom. I expect EUR drop to continue with no significant pullback till the end of this week, only on Friday we may witness some upside correction because US NFP is expected to be a lot worse than previous, but if we have pullback it will be used to open new short positions too and the next Monday it is quite possible to open with a lower gap again.
GOLD is quite more stable right now, there is no earthquake here even the metal is prepaired for a jump higher at any moment. But for a jump higher we need a H4 close above 1198. We have a H4 support at 1192, dropping below may test 1172. To the upside we have resistance at 1224 and 1239.
NZD opened with a downside gap and now the downside target is a test of 0.7610 level. i am almost sure that we shall break below it, indicators here do not show signs of correction. However i think that if we break 0.7600 we won't go below 0.7580 and an upside pullback may start from there.
AUD has started a process of upside correction but the recent events have destroyed this attempt and now all time frames are bearish, currently H1 and H4 are turning bearish too. It is difficlult to determine the target here because we have no support lefels left, except the monthly SMA200 at 0.7800. To the upside resistance is 0.8220.
JPY has no serious problems too despite the strong dollar, the pair is not so interesting because the big money is now in EUR/USD pair. Here we continue to maintain the bullish mode with 120.10 support and you may enter LONG above that. First target is 121.00 then 121.65.
GBP had a terrible last week, the pair closed with no pullback and this one even started with a downside gap. What a bad luck. Do not forget we shall have the BoE rate decision on Thursday and it will move the pair too. For now all time frames are ultra bearish, except the Weekly. The behavior of the pair is quite unusual and the price seems rejected by the monthly Ichimoku cloud, but i think that in the monts ahead we shall have a powerful recovery.
