Volatility was back in the markets on Thursday.  Most of the majors appeared ready to end the day lower against dollar before rallying sharply after the European close.  This was the second time this week the markets stayed alive after the European close.  It would be nice to see the trend continue into the end of the year.  Heading into end of the week all eyes will be on the EURUSD and USDCAD.  Both pairs moved through significant support and resistance level on Thursday and are currently resting near trend lines that have guided the pairs over the last few weeks.  The EURUSD broke above the descending trend line at 1.29 and hold above favors a move higher.  while the USDCAD is resting on TL support at .98.  Both pairs should be watched carefully for hints of overall market direction.  In Asian trading Friday, Spain will release the results of resent bank stress tests and the GBP GFK results are due.  As always everyone keep your trades KEANE and remember to keep your trades safe.

 

EURUSD UP DOWN ALL AROUND

The EURUSD took traders for a roller coaster ride on Thursday In New York.  The cross seemed comfortable heading lower trading near support at 1.2820 before reversing its path sharply.  The pair manages to finish the day above 1.29 and above the descending trend line that has contained price action for the majority of the month.  If the cross can hold its ground above 1.29 the path of least resistance will be higher towards 1.30 to finish the week.

Sup    1.29

Res    1.30

Keane Plan....Watching price action near 1.29

GBPUSD DEFENDING ITS GROUND

The GBPUSD has maintained a relatively stable path over the last two weeks.  The pair has seen price action capped by the 1.63 level and limited by support at 1.6140.  The cross is currently sitting about mid range heading into the end of the week, month and quarter.

Sup   1.6140

Res    1.63

Keane Plan...Will follow risk into the end of week.....Watch direction because weekly extremes will be targeted.

AUDUSD TESTING THE FIBS

The AUDUSD has danced around the fib range for the majority of the week.  Heading into the finial day of the week it appears that the cross could be ready to break free.  the answer to the question rests at price resistance at 1.0450.  If the pair can break above this level last weeks highs at 1.0520 could be in view.  If the pair reverses once again another test of the 50 fib at 1.0394 could play out.

Sup  1.0394

Res  1.0450

Keane Plan...Watching the 1.0450 level for a break or hold.

NZDUSD BOUNCING BETWEEN THE ZONES

Our theory heading into the week about the NZDUSD bouncing between the resistance zone between .83 and .8350 and support zone between .8184 and .8220 has played so far.   The question remains what will the cross due to finish out the week.  As long as the pair remains below .8350 Resistance remains in place and a push to the bottom pf the range remains in play.  A break of the top of the range favors a move higher towards .8470.

Sup    .83/50

Res    .8220/.8185

Keane Plan....Until .8350 breaks the range remains in play.

USDCAD REJECTED AT THE RANGE TOP

The USDCAD threatened to break above the top of its range Thursday before promptly reversing tract.  Heading into the end of the week all eyes will be on the ascending trend line at .98 that the pair has ridden higher for the last few weeks.  If the cross breaks below this line a test of channel bottom trend line on the daily chart at .9670 could be in the works.  If the trend line holds once again resistance at .9850 comes back into play.

Sup    .98

Res     .9850

Keane Plan...Looking for a break or hold of the trend line at .98

 

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