FYI | Aug 01 2012
FNArena has added another video to its Investors Education section on the website. This week ATW's Jerry Simmons starts off his commentary on a regularly covered topic, the EUR/USD Weekly chart, pointing out the low reached last week is in an extremely important technical area of a prior weekly low of previous years.
Jerry sees a fully qualified weekly Reversal Breakout Bar, but cautions it is always possible to have a failure. He notes current levels represent a very important zone for follow through to the upside, with a breakout past 1.2420-1.2450 likely to spark further acceleration to the upside. A continuation this week will be the key.
The AUD/USD weekly also tested the previous week’s low, which Jerry points out is also a Dual Purpose Trend Line zone that held. He thinks we’re set for a big break out, noting a direct correlation between the AUD/USD and equities and hard assets.
Looking at the Nasdaq Futures chart, Jerry goes over some major moves off the lows, leaving us at a strategic resistance zone. Keep an eye on 2620-2625, says Jerry, as a break past there should test highs at 2643 then 2655.
There were some very significant moves on the Shares FTSE/Xinhua China 25 Index chart, which has traded up to the previous week’s high. Jerry explains that if we’re going to have another bull market, the FXI will have to take a leadership role. This week, should be a big one, says Jerry.
US 10-Year Treasury Notes are still in a market bubble that will burst at some point and Jerry thinks it may not be a vertical spike, but rather a roll over type of decline. A break below 134 would indicate more scope for moves to the downside.
Comex Gold also booked a significant key event, breaking out past the upper trend line. However, Jerry still wants to see a move past 1640 to confirm. 1600-1605 remains the critical support zone.
To view the ATW Strategic Prep Video click HERE or visit the FNArena Investors Education section of the website.
All views expressed are Jerry Simmons's, not FNArena's (see our disclaimer).
Jerry Simmons has over 25 years of full-time trading experience. He is the senior partner and head mentor for the “Masters” Programme within the education system at New York based Advanced Trading Workshop (ATW).
FNArena is pleased to have Jerry Simmons as a highly valued contributor to its service which aims at both educating investors and assisting them with their own market analyses.
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