Note: Lots of Fundies this week including FOMC on Wednesday!!
USDX: Bullish to Bearish: We are in an uptrend in a 5th wave but at the channel top. We have divergence in play so maybe one more run at a new top. If so, we are looking to top out at the R10 @ 106.534. Watch for the short there. The pairs should prove it out when the market opens. All of this could change in a heartbeat and will affect the currencies below. ATR’s are about the same as last week.

BE SMART - TRADE WITH STOPS!!!!

EURUSD

What ProAct Traders See: Bearish to Bullish: We are currently @ 1.0661 in channel. A continuation here would most likely take out the Day chart bottom @ 1.0593 and then a bounce. Watch for the reaction there. Watch the USDX for reversal and direction. The ATR for the pair currently is 73 pips.

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USDJPY

What ProAct Traders See: Bearish: We are currently @ 147.85 in a channel up at the range top. We have a triple top in place, so we are looking for a reversal to the 0.500 Fibo @ 146.12. Divergence in place but we could have a short breakout up and then the short. Watch the USDX for direction. The average daily true range (ATR) for the pair currently is a BIG 105 pips.

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GBPUSD

What ProAct Traders See: Bearish: We are currently @ 1.2383 in a 5th wave. A break of the support here, targets the S6 @ 1.2075.@ 1.2338. Watch for the reaction there. Watch the USDX for direction. The average daily true range (ATR) for the pair is 87 pips.

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AUDUSD

What ProAct Traders See: Bullish: We are currently @ 0.6431 in a range with nowhere to go. IF we get the breakout of the flag, we are looking for a buy to the to the 0.500 Fibo @ 0.6626. Watch the USDX for direction. The average daily true range (ATR) for the pair currently is 58 pips.

CAUTION IS URGED - TRADE WITH STOPS!!!!!