GBP/USD fails at symmetry while the S&P 500 bounces off key support. USD/CAD break major resistance.

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Foreign Exchange Price & Time at a Glance:

Price & Time Analysis: EUR/USD

Charts Created using Marketscope – Prepared by Kristian Kerr

• EUR/USD has come under pressure over the past few days after encountering resistance just above the 6th square root progression of the year-to-date low in the 1.3430 area

• While over the 1.3220 2nd square root progression of the month-to-date high our near-term trend bias will remain higher in the Euro

• The 1.3415/30 area remains a key upside pivot with traction above required to set off a more important advance

• The first part of next week is a medium-term cycle turn window

• Weakness below 1.3220 would undermine the positive technical structure in the rate and turn us negative

EUR/USD Strategy: Still square, but may buy a closing break of 1.3415/30.

Price & Time Analysis: USD/CAD

Charts Created using Marketscope – Prepared by Kristian Kerr

• USD/CAD has traded to its highest level in over a month following Wednesday’s breach of a key Fibonacci retracement cluster in the 1.0440 area

• While over 1.0470 our near-term trend bias is higher in Funds

• The 61.8% retracement of the 2007 to 2009 advance in the 1.0585 area is key resistance and traction over this level is needed to trigger the next important move higher

• A minor cycle turn window is seen around the middle of next week

• A close back under 1.0470 would undermine the immediate positive tone in Funds

USD/CAD Strategy: Like the long side in Funds while over 1.0470.

Price & Time Analysis: S&P 500

Charts Created using Marketscope – Prepared by Kristian Kerr

• S&P 500 traded to lowest level since early July on Thursday before finding support near the 2nd square root progression of the June low in the 1640 area

• While below 1710 our near-term trend bias will remain lower in the index

• The 1740 level remains a critical downside pivot with a close below needed to confirm that a more important reversal in trend is underway

• The middle of next week is a medium-term cycle turn window

• A move through the 3rd square root progression of the June low near 1673 would alleviate some of the downside pressure, but only over 1710 turns the structure more clearly positive