For beach party breakouts, soybeans, gold, and the British pound have higher narrow-range pivots inside each other for next week and month constituting a pivot breakout mix on multiple time frames- could a strangle/straddle apply? For a milder breakout story, crude has higher inside pivots for next week, and lower inside weekly pivots for next week are in the S&P 500 and inside lower monthly pivots in Bitcoin.
This was a monster session for the Euro gaining almost a penny. The move started early this morning when French GDP beat expectations and picked up further steam on hawkish comments from German Bundesbank President Weidmann. The yen took a bath today after crossing the .9600 mark on Friday for the first time since November 2016. The dollar was surely not culprit today as the yen was the only currency to truly lose ground against it.
The S&P 500, gold, bitcoin and soybeans do chart bullish to me for next week. In contrast, the yen, euro, pound, Aussie, and crude show some bearish technical conditions for next week-quarter from monthly charts already noted. The short call spread weekly trade ideas in these is derived from bearish candlesticks in multiple time frames, volume and Fisher indicators, and range extension this week. clear. The Aussie, euro, soybeans and British pound show trending pivots for next week, and the yen (two-time frames), gold (two-time frames), Aussie, bitcoin and soybeans have range compression that also can produce wider weekly ranges than average.
The Federal Reserve raised rates a quarter point as expected this afternoon. However, they continued to project only three hikes this year while many speculated a fourth will be added. Citing a stronger economic outlook in the face of dismal February data, they raised their growth forecast for 2018 and 2019. The Fed did increase next year’s rate-hike projections to three from two. But still, the U.S. dollar got hammered. We have been discussing the impact of perception for months now.
The dollar rebounded today against all major currencies as tomorrow’s FOMC Meeting comes into focus. This price action started early on poor reads from UK inflation and German and Eurozone Sentiment data.
The Euro staged a strong rebound today after a poor finish to last week. A string of soft regional and Eurozone CPI reads started the Euro off on weak footing Friday. Further pressure was added on strong U.S. data that included Industrial Production, JOLTs Job Opening and Michigan Consumer Sentiment; the Euro finished the week at the lowest level since March 1.
Soybeans and crude oil have the most trending pivot math for the coming week, and all of my tracked symbols have narrow ranges on one or more of daily, weekly, or monthly charts. The Aussie, Pound, Crude, and Gold are range-compressed on all three charts! Breakouts are brewing.