Mizuho Corporate Bank

EUR
Comment: Difficult as we trade in a small range roughly in the middle of the range since March. Expect more of the same today. Rallies will probably be capped by the very large Ichimoku ‘cloud’. Intermediate highs and lows will be hard to spot.
Strategy: Possibly attempt tiny shorts at 1.5555/1.5590; stop above 1.5655. Short term target 1.5485, maybe 1.5400.

EUR/JPY
Comment: Dropping, here and in a wide range of Yen crosses. If not today then later this week we favour a drop below the top of the Ichimoku ‘cloud’ and a cautious drop to the lower edge of this very fat ‘cloud’ at 158.35. Below here would complete a large ‘double top’.
Strategy: Sell at 162.10, adding to 162.65; stop above 163.50. Short term target 161.50, then 159.00.

GBP
Comment: Having an awful lot of trouble with a very thin Ichimoku ‘cloud’. Prices will hopefully try and form a small interim base today allowing for an upside squeeze later this week.
Strategy: Possibly attempt small longs at 1.9625; stop well below 1.9600. Short term target 1.9750, then 1.9900.

JPY
Comment: Dropping after a third upside test saw prices inch to a new recent high at 105.88. If we can hold below 104.50 this morning bearish momentum should increase possibly triggering a very sharp slide to 103.00. While unlikely today, a sustained break below 102.50 should really set the ball rolling for a re-test of the psychological 100.00 area.
Strategy: Attempt shorts at 104.25, adding to 104.50; stop above 105.00. Short term target 104.00, then 103.00.