Highlights and themes
- The theme has been the weak US Dollar, which continued
- The US Dollar Index does have a new DeMark Sequential 13 with bullish sentiment at the lowest level in several years. US Dollar Index will get a weekly buy Setup 9 this week and possibly on week 12 of 13 with the Sequential.
- Yen strength is a risk that continued last week; however, the overall macro markets ignored this recent concern with more excitement for a Fed cut coming in September.
- The Euro and Pound have been strong, and new DeMark Sell Setup 9s are in play with elevated or extreme sentiment.
- Crypto has held recent near-term support levels for the past 10 days
Comments on charts. If you have questions or would like more context, please email.
Currency Sentiment Overview
Currency sentiment highlights
US Dollar Indexes
DXY US Dollar Index daily is oversold with recent DeMark Sequential 13 and Setup 9. Combo remains pending and could qualify the 13 this week.
US Dollar bullish sentiment is very oversold and under pressure.
US Dollar Commitment of Traders large speculators and weekly DeMark Setup, Sequential, and Combo indicators Sequential is on week 11 of 13
Major USD Crosses
EURUSD Euro / US Dollar will be watching if the daily and weekly sell Setup 9 (due this week) will halt the advance
Euro bullish sentiment is at the highest level in several years
Euro Commitment of Traders large speculators and weekly DeMark Setup, Sequential, and Combo indicators. Watching sell Setup 9 this week.
GBPUSD British Pound Sterling / US Dollar is extended here with new Sell Setup 9 I won’t rule out more upside.
British Pound Sterling bullish sentiment has been increasing near March highs
AUDUSD Australian Dollar / US Dollar with Sequential potentially extending the current trend.
Australian Dollar bullish sentiment reversal
Australian Dollar Commitment of Traders large speculators and weekly DeMark Setup, Sequential, and Combo indicators
USDCAD US Dollar / Canadian Dollar shows the Canadian Dollar strengthening.
Canadian Dollar bullish sentiment at same level as mid Summer 50% breakout?
Canadian Dollar Commitment of Traders large speculators and weekly DeMark Setup, Sequential, and Combo indicators
USDCHF US Dollar / Swiss Franc could still continue the trend with the Sequential in progress.
Swiss Franc bullish sentiment back to near similar levels from the start of the year
Swiss Franc Commitment of Traders large speculators and weekly DeMark Setup, Sequential, and Combo indicators
USDJPY Japanese Yen daily has the Sequential on day 12 of 13 with a new Aggressive Sequential 13. Combo remains on day 10 of 13 and would require new lows to qualify the 13. Breaking the 144.18 closing low will qualify downside wave 3 of 5.
Japanese Yen bullish sentiment went from an extended oversold period to now overbought
Yen Commitment of Traders large speculators and weekly DeMark Setup, Sequential, and Combo indicators. Remains under pressure
Crypto
Bitcoin daily with a strong bounce on Friday. The TDST support line at ~57k remains very important.
Bitcoin bullish sentiment with one of the stronger one day bounces in a while. Back to the 50% midpoint level.
Ethereum with a bounce on Friday after consolidating for 10 days. 2500 first support
Three major Yen crosses
After the first move a bounce and stalling. All three of these crosses have potential lower high wave 2 of 5 bounces.
EURJPY Euro / Japanese Yen
GBPJPY British Pound Sterling / Japanese Yen
AUDJPY Australian Dollar / Japanese Yen
US Dollar vs Emerging Markets
USDBRL US Dollar / Brazilian Real bounce and drop
USDMXN US Dollar / Mexican Peso still has pending Sequential potential continuing trend
Mexican Peso bullish sentiment holding recent support
Mexican Peso Commitment of Traders large speculators and weekly DeMark Setup, Sequential, and Combo indicators
USDZAR US Dollar / South African Rand at low end of range
USDCNH US Dollar / Chinese Offshore Renminbi (Yuan) could continue Sequential Countdown
DeMark Sequential Basics from Bloomberg
Detailed Commitment of Traders explanation
