Interestingly UK Oil is close to closing the significant gap down in early March, by returning to above $45. In early May, UK Oil settled right around the key $30 level after rallying well off the multi-year lows below $16, and it also consolidated well several weeks ago around $35.
We also covered the US30 index which spent the remainder of the week falling sharply back to the key 25000 level. It had spent the last week or so trading around the key 26000 level after bouncing strongly off support at another key level of 25000, two weeks ago. This was after the index fell strongly for the week before after having moved strongly higher through the key resistance level at 25000 and 26000 on its way to a three month high above 27000. In the last two months the 25000 level had turned away the index on several occasions, reinforcing how significant the 25000 level had become in this period, and it has been able to provide some strong support to the index in the last four weeks. The 27000 level continues to loom above having placed downward pressure on the index recently and earlier in the year.
In the last week the EURUSD has eased back below the key 1.13 level again after a recent strong surge from a three week low below 1.12. Generally in the last two weeks the EURUSD has fallen lower from its highest level in three months above 1.14, which it surged to over the previous three weeks moving through many key levels on its way. Many of these key levels have previously played a role in the EURUSD’s price action, including the 1.10 level which had been offering stiff resistance on several occasions throughout April and May. The 1.12 level is currently key as it continues to prop up the EURUSD. The 1.11 and 1.10 levels look poised to offer some support should they be called upon.
To finish out the week we covered the USDJPY which finished continuing to trade right around the key 107 level. In the last two weeks the USDJPY has settled right around the key 107 level not looking in any rush to move anywhere. Whereas, the previous two weeks saw the USDJPY move sharply dropping from above the key 109 level and two month high down through the popular range and back below the key 107 level to a one month low, after having previously surged higher through 109. The 107 level has become quite significant of late as the USDJPY has gravitated towards it but also previously it has been well supported by this level. During the last three months, apart from one excursion below, the 107 level has supported the currency pair well pushing it back towards 108 and 109 repeatedly.
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