Nov 7 am, FX/BTC Commentary
Euro-1.1490. The left hand chart is the daily Euro. The white, horizontal line the market touched overnight is 1.1500ish . The right hand chart is the 20x60 point and figure Euro chart. The red line is at 1.1520. Can see that is a low volume trading level by counting the number of X's and O's at that price as compared the prices above and below it--it would look like the valley between two mountain tops if turned sideways. I still like selling the Euro with stops above 1.1540. A print of 40 would be bullish for a quick move above 1.1600 and potentially all the way back to 1.1800, which is just shy of the white horizontal line on the point and figure chart. Today's range is 130% of the day day average daily range and with good resistance just above the market, it's hard to expect continued follow through to the upside. With that being said, the Euro could stay bid through New York trading as the election results are still being digested and traders/fund managers are figuring out what these results mean in the macro picture. (I'll let people smarter than me figure out the macro picture while I look at my charts and horizontal lines.) Support comes in at 1.1460 and then 1.1447 which is today's mid. Can take a shot buying early morning weakness looking for a test of the overnight highs and potentially higher but I would only buy weakness--not strength in here. I suspect the Euro tops out tonight/tomorrow below 1.1520ish(wrong at 40) and resumes downtrend. As always, the 920 to 950am period usually sets the tone/direction into the NYK close, so watch the high and low of that period and the distribution after.
BTC-6500. No chart today since the charts don't even look like they're updating. But, at 6500, BTC is dead smack in the middle of it's 3-4 month trading range. Some resistance at 660 and then the all important 6800. A print of 6850 should be followed by a quick move to 7100. Support comes in at 6400. Good resistance in XRP at .58 and minor support at .48. ETH has caught a bid but it's by no means out of the woods yet. There is a big low volume trading zone between 255 and 275. Would take a close above 280 to suggest a much larger degree low is in place and major uptrend starting.