EURUSD Through 13100-13145 is a HUGE Level

I just want to share a few charts as I work on the weekly. The EURUSD ripped through 13100 this morning after taking out the May gap (13080) with ease. I'm expecting a reaction at 13145 (not sure if we reach it today or not), which is defined by the October 2011 low, 50% retracement of the decline from the October 2011 high and 38.2% retracement of the decline from the April 2011 high.

The JPY is the weak link today and is now trading above 7800. Last night's technical report referenced the potential for a pop higher but this bottom could prove more important than thought with the possibility that yesterday's decline was a terminal thrust from a triangle.

EURUSD - Weekly Bars

Prepared by Jamie Saettele, CMT

USDJPY - Daily Bars

Prepared by Jamie Saettele, CMT

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Jamie is the author of Sentiment in the Forex Market.

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