The GBPUSD has been moving up and down in the NY session and has  just broken above the topside channel trendline. That is the bullish news. The bearish news is the price held the resistance against the 100 bar MA (see blue line in the chart above).  So the question comes for the buyers from below, "{Will the price extend higher or will the price fail and come back down?"  Needless to say the action is not typical so this puts the element of doubt in market traders as to the sustainability of a move.  So be aware and prepared.

The last hour of the London session is approaching and the price has pushed to new highs for the day. The London high, prior to this last push, came in at the 1.3134 level. The new high now comes in at the 1.3145 (so far). The range for the day still remains at a small 67 pips. The average over the last 20 days comes in at 120 pips. There is room to roam.

Traders will look for close  support against the  1.3124-34 level with a push toward the 1.3153-61 the next key target above. The 1.3153 is topside trendline resistance. The 1.3161 is the 100 hour MA (see chart above).  Traders will be eyeing these levels for directional clues.

Says:

• He sees no link between the Greece and Spain situation
• Expects Spain to reach its 2013 deficit goal
• ‘Final decision' wednesday on Greek program
• No decision today on ECB executive board vacancy
• ‘Underdramatic' eurogroup meeting in Brussels today
• No desicions on Spain, Portugal  at todays meeting
• Portugal doing quite well, Spain has some problems

Greg Michalowski speaking in Madrid at The Trading Room

The 43 point trading range is indicative of a non trending market. Non trending transitions into trending -eventually. Traders will be watching for a break and momentum but that might still take some time.

The USDCAD moved above the 100 hour MA and entered back between the Goal Posts as defined by the 100 and 200 hour MAs. The price  has upside resistance against the 100 hour MA and 50% resistance agaisnt the 0.9947-50 area. On the downside, the 0.9929 and the 200 hour MA at the 0.9924 are support levels.  The bulls and bears fight it out when the MA are spread apart.  It is a neutral zone  for traders. Typically, the price action stall between the levels until the market decides the directional bias for the pair.

The USDCAD has broken above the 200 hour MA and is heading up toward the 100 hour MA as it enters back in between the "goal posts" as defined by the 100 and 200 hour MAs. The 100 hour MA comes in at the 0.9951 level. Just before that level is the 0.9947 level where the 50% of the move down from last Wednesday's high to the low on Friday comes in. I would expect sellers against the level on the first test, with stops on a break higher. Look for support at 0.9924-29 now (200 hour MA and 38.2% retracement)

The NZDJPY has fallen below the 200 hour MA after spending most of the last few days above the flattening moving average. The move above the 200 hour MA (at 67.14) on Thursday should have led to further upside momentum - and it did - but that momentum could not be sustained and the move below the level has taken some of the bullishness away from the bulls.  Traders will be watching the 200 hour MA today to see if the sellers have the strength to stay in charge.  That strength will be reflected in a subsequent move below the 38.2% of the move up from last week (at 66.92) and then the 100 hour MA at the  66.745 level currently.

FXDD TRADERS COURSE - Tuesday Course this Tuesday at 4:00PM with FXDD's Greg Michalowski and Shawn Powell - Register now

Week ahead in Forex Trading starting now with Greg and Shawn - Join us now

https://www1.gotomeeting.com/register/996866784