Until we can break out of the 1.35 – 1.37 region, this pair is going to be almost impossible to trade for anything longer than a scalp. With that being the case, I am completely disinterested in this marketplace, and therefore really haven’t been trading at. However though, I do pay attention to what the Euro is doing in order to get an idea of how to trade it against other currencies around the Forex markets. Until we break out of this range though, it doesn’t really look like a market that’s going to be easy to deal with by itself.


The USD/JPY pair has been very stable or some time now, showing the 101 level to be massively supportive. Because of this, we feel that the market should continue to find buyers in that region, allowing the short-term traders to continue to range trade in a very stable marketplace. With that being the case, I will be trading a long-term trades in this market, but it’s the short-term charts that I will find interesting. I believe that the market goes to the 102.50 level again, so I will be looking for short-term buy signals in order to continue to profit off of this marketplace and its reliability.


The GBP/USD pair fell during the course of the week, but as you can see the 1.71 level offered enough support to turn things back around and form a hammer. I believe that if we break above the 1.72 level, this market should be ready to go higher, probably heading to the 1.75 level, as it has been a longer-term target of mine for some time and I believe that is the next major resistance barrier. Ultimately, I do think that the 1.70 level is the “floor” in this market.


The USD/CAD pair found a lot of support during the week, based upon the uptrend line that we have been following for some time. Because of this I believe that the market will continue to go higher and that the uptrend is still in effect. The 1.08 level should be resistance, but I do believe that ultimately we will break higher and trying to reach the 1.10 level. At this point in time, as long as we can stay above the 1.06 level, I feel that this market is one that can only be bought, and therefore I am bullish.

Related Articles
  1. Term

    What is a Preemptive Right?

    A preemptive right allows select shareholders to buy newly issued shares in their corporation before the general public.
  2. Mutual Funds & ETFs

    ETF Analysis: iShares US Basic Materials

    Learn about the iShares US Basic Materials exchange-traded fund, which invests in the equities of chemicals, metals and industrial gas companies.
  3. Trading Strategies

    Stock Trading for Free: Now a Reality

    Believe it or not, you can now trade stocks and ETFs for free. Here's a look at providers offering commission-free trading.
  4. Term

    What are Pension Funds?

    A pension fund is a company-sponsored fund that provides income for employees in retirement.
  5. Chart Advisor

    Big Double Top Patterns On the Verge of Breaking

    These stocks have created big double top chart patterns, and are on the verge of breaking the patterns to the downside--a bearish signal.
  6. Term

    What is Passive Income?

    Passive income is earned by someone from ventures in which they did not actively participate.
  7. Options & Futures

    Analyzing The 5 Most Liquid Commodity Futures

    Crude oil leads the pack as the most liquid commodity futures market, followed by corn and natural gas.
  8. Term

    What are Non-GAAP Earnings?

    Non-GAAP earnings are a company’s earnings that are not reported according to Generally Accepted Accounting Principles.
  9. Mutual Funds & ETFs

    ETF Analysis: Ultra Oil & Gas

    Find out more about the ProShares Ultra Oil & Gas exchange-traded fund, the characteristics of the ETF and the suitability and recommendations for the fund.
  10. Term

    What are Mutually Exclusive Events?

    In statistics, mutually exclusive situations involve the occurrence of one event that does not influence or cause another event.
  1. Implied Volatility - IV

    The estimated volatility of a security's price.
  2. Plain Vanilla

    The most basic or standard version of a financial instrument, ...
  3. Operating Cost

    Expenses associated with the maintenance and administration of ...
  4. Equity Market

    The market in which shares are issued and traded, either through ...
  5. Trade Credit

    An agreement where a customer can purchase goods on account (without ...
  6. Normal Profit

    An economic condition occurring when the difference between a ...
  1. Can mutual funds outperform savings accounts?

    A mutual fund can – and should – outperform a savings account. In most cases, it should not even be a close race. Savings ... Read Full Answer >>
  2. Can mutual funds invest in private companies?

    Mutual funds can invest in private companies, which may come as a surprise to many investors. It is rare for a fund to have ... Read Full Answer >>
  3. How do dividends affect retained earnings?

    When a company issues a cash dividend to its shareholders, the retained earnings listed on the balance sheet are reduced ... Read Full Answer >>
  4. Can my IRA be garnished for child support?

    Though some states protect IRA savings from garnishment of any kind, most states lift this exemption in cases where the account ... Read Full Answer >>
  5. Why is my 401(k) not FDIC-Insured?

    401(k) plans are not FDIC-insured because they are typically composed of investments rather than deposits. The Federal Deposit ... Read Full Answer >>
  6. Can I use my IRA savings to start my own savings?

    While there is no legal reason why you cannot withdraw funds from your IRA to start a traditional savings account, it is ... Read Full Answer >>

You May Also Like

Trading Center

You are using adblocking software

Want access to all of Investopedia? Add us to your “whitelist”
so you'll never miss a feature!