There is a tragic end looming over Greece after an eventful weekend. Now, the 11 million people country is on the brink of a historic collapse that is threatening global financial markets stability. Large gaps have been witnessed in Currency and Stock markets as investors have fled to the relative safety of the USD. EURUSD traded as low as 1.0956 down over 200 pips from Friday's close. EURJPY gapped down 400 pips.

A referendum will be called on July 5th whether Greece should accept austerity measures from the Troika. Banks are closed in Greece today, and people are limited to withdrawals of EUR 60 per day from ATM’s. The Greek stock market will also be closed for 1 week. German DAX also opened 5% lower just now.

You can expect the focus will be on EURUSD, GOLD and Stock markets. Expect a very choppy and unpredictable week with large swings. These times remind us of September 2008 when Lehman Brothers collapse caused global turmoil with fluctuations of 7% happening every other day.

There is not much to predict in terms of direction for the market. This is the time where everyone has to be careful and manage their risk. This is also the time that our trading features such as guaranteed stop losses and negative balance correction will be your most important allies.

Trading Quote of the day:

“Austerity is not part of the European treaties; democracy and the principle of popular sovereignty are.”
– Alexis Tsipras

Green lines are resistance, Red lines are support

EURUSD
Pivot: 1.1075
Likely scenario: Short positions below 1.1075 with targets @ 1.095 & 1.091 in extension.
Alternative scenario: Above 1.1075 look for further upside with 1.113 & 1.118 as targets.
Comment: As long as 1.1075 is resistance, expect a return to 1.095.

GBPUSD

Pivot: 1.5765
Likely scenario: Short positions below 1.5765 with targets @ 1.566 & 1.5625 in extension.
Alternative scenario: Above 1.5765 look for further upside with 1.58 & 1.583 as targets.
Comment: The RSI is capped by a declining trend line.

AUDUSD

Pivot: 0.768
Likely scenario: Short positions below 0.768 with targets @ 0.7585 & 0.755 in extension.
Alternative scenario: Above 0.768 look for further upside with 0.772 & 0.775 as targets.
Comment: The upward potential is likely to be limited by the resistance at 0.768.

USDJPY

Pivot: 123.3
Likely scenario: Short positions below 123.3 with targets @ 122.1 & 121.7 in extension.
Alternative scenario: Above 123.3 look for further upside with 124 & 124.35 as targets.
Comment: As long as 123.3 is resistance, likely decline to 122.1.

USDCAD

Pivot: 1.2365
Likely scenario: Short positions below 1.2365 with targets @ 1.231 & 1.227 in extension.
Alternative scenario: Above 1.2365 look for further upside with 1.24 & 1.2425 as targets.
Comment: As long as 1.2365 is resistance, expect a return to 1.231.

USDCHF

Pivot: 0.9315
Likely scenario: Long positions above 0.9315 with targets @ 0.942 & 0.947 in extension.
Alternative scenario: Below 0.9315 look for further downside with 0.928 & 0.925 as targets.
Comment: The RSI is mixed with a bullish bias.

GOLD

Pivot: 1175
Likely scenario: Long positions above 1175 with targets @ 1196 & 1200 in extension.
Alternative scenario: Below 1175 look for further downside with 1169 & 1162.5 as targets.
Comment: The RSI is well directed.

OIL

Pivot: 59.65
Likely scenario: Short positions below 59.65 with targets @ 58.3 & 57.5 in extension.
Alternative scenario: Above 59.65 look for further upside with 60.45 & 60.9 as targets.
Comment: The RSI lacks upward momentum.

DAX

Pivot: 10800
Likely scenario: Long positions above 10800 with targets @ 11285 & 11380 in extension.
Alternative scenario: Below 10800 look for further downside with 10640 & 10435 as targets.
Comment: The RSI is mixed and calls for caution.