NEW YORK (TheStreet) -- After a wild week of trading, here are the technicals on the world's major currencies.
EURUSD: Euro/dollar weakens and forms bearish pin bar
The weekly chart of the EURUSD below shows us a clear indication that this currency pair may want to move lower this week. Notice the large pin bar reversal signal that formed last week as price made a false-break above 1.1450 key resistance. This keeps price contained within the trading range between about 1.1450-to-1.0800 and we can look to be sellers this week on a one hour, four hour or daily chart sell signal should price retrace slightly higher, in anticipation of price falling further, perhaps down to re-test support near 1.0800.
GBPUSD: Sterling/dollar false-break of key resistance
The GBPUSD also created a false break of resistance last week, and that false break was followed by a powerful move lower. Notice that price ended the week right at key support near 1.5330; if price closes under that 1.5330 level we will become more bearish and will look for selling opportunities. However, there is a small chance price may rally from this support near 1.5330, so if that happens we will remain neutral and wait for an obvious signal either long or short to set up.
USDJPY: Dollar/yen recovers after sell-off
The USDJPY recovered quite aggressively last week following Monday's powerful sell-off. I expect price to try and continue pushing higher from here, however, we still have a lot of resistance overhead, so be careful. Price could easily move lower again before building enough bullish momentum to resume the longer-term uptrend.
Charts by LearnToTradeTheMarket.