EURUSD#14 - Weekly Homework

Euro dropped last week, but wasn't a very huge drop. It's enough to form a black candle engulfing the previous week's body though.

On the weekly chart, price failed to break above EMA50, also means Chikou couldn't break above Kijun. Price was being supported by Kijun around 1.3185, which will continue to be the immediate support. Another stronger support observed on the weekly chart is still 1.3000. As for resistance, EMA50 (currently at 1.3420) is the immediate resistance, followed by EMA200 & Kumo flat around 1.3350. Basically, support resistance levels are similar to those mentioned last week, only the sentiment turned to be even slightly (not too much) more bearish.

On the daily chart, EMA200 successfully bounced price off it, and out of the Kumo, a sign of bearishness. Price is now moving in a flag / channel. It won't be surprise if price might rebound to as high as 1.3380 again, or even 1.3480 (EMA50, Kumo flat bottom). However, 1.3550 will be a strong resistance. Daily Tenkan (around 1.3185) proven to be a support, which coincides Chikou's attempt to pierce through the thin Kumo. For the time being, Chikou has rebounded after touching the bottom of the thin Kumo. Once broken 1.3183, a strong bear run might continue, though 1.3000 will be another support

On the 4-hourly Chart, 1.3185 is the immediate support, successfully supported the price last week. However, with a bullish cloud ahead, it might be a decision time, to break above 1.3300 and aim for 1.3550, or go below 1.3185 and test 1.3000.

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EURUSD#13 - Weekly Homework

Euro formed a nice long hammer pattern on weekly chart last week. Though the huge black candle 2 weeks ago, thick Kumo managed to pull price back into the cloud again. That coincides with FB80 retracement for a run from 10 Sep to 4 Nov 2010.

A few resistances on the monthly chart:
1. Kijun & EMA50 - around 1.3550
2. Chikou has hit price action, will it break above it?
3. EMA50 for Chikou - around 1.3460
Support only around 1.3000

Resistances on the weekly chart:
1. Kijun for Chikou & EMA50 for price - around 1.3430
2. Kumo top - around 1.3550, also EMA50 for Chikou
3. Kumo bottom for Chikou - around 1.3800
No clear support other than 1.3000, which is also around Kumo bottom.

On the daily chart, price as break above EMA200 and into the Kumo. However, Friday's high is still inside a channel formed by the lower-highs and lower-lows since 4 Nov. It's still unclear whether it will break out from the channel, or being rejected by the Kumo and stay inside.
A few resistances:
1. EMA50 for both price and Chikou - around 1.3520
2. Kijun, also Chikou pivots - around 1.3625, also FB50 for recent downtrend
3. Kumo top - around 1.3830, also Kijun for Chikou
Supports:
1. EMA200 for Chikou - around 1.3320 to 1.3380
2. Kumo for Chikou - around 1.3180

4-hour chart, Chikou has break above price AND Kijun, showing some strength. Price action had also broken up into the cloud. If price manages to go above 1.3450 early Monday, then resistances are:
1. EMA200 - around 1.3520, near 1.3550 strong resistance
2. Kumo resistance for Chikou
Supports:
1. Kijun and Price action for Chikou

Could be a tricky week to trade. Long term trend still bearish, but if break above 1.3550, might go up further to 1.3830, a short term bull run. Bear run will continue once 1.3000 support is broken.

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