EURJPY
EURCHF
EURGBP
Commentary - In looking at all of the price action since the July high of 168.94; one thing is obvious; the decline from 168.94 to 149.25 is in 3 waves and therefore a correction or just part of a larger correction. Additional evidence supports bulls as the rally from 149.25-167.64 is in 5 waves (if we allow for wave 5 to be truncated). The decline into 158.68 was also corrective (3 waves), although it was sharp. Now, the EURJPY is expected to push through 164.31 in order to complete larger B of an A-B-C from 167.64. 165.00 is a possible reversal point.
Strategy – Get bearish near 165.00, against 167.64, target 156.00
Commentary – Two weeks ago, we wrote that “this 5th wave may be close to complete; wave 5 would equal wave 1 at 1.6292. Even if price does slip a bit further, expect a bounce to challenge at least 1.6489.” The low was made at 1.6298 and the EURCHF has rallied through 1.6500. The advance from 1.6298-1.6588 is probably wave a in an a-b-c correction. Therefore, expect a corrextive decline in wave b of the correction before wave c takes the EURCHF to at least 1.6625 (61.8% of previous decline) and maybe 1.6713 (78.6%).
Strategy – Flat
Commentary – We wrote two weeks ago that “the rally from .6535 is in wave 3 and could possibly challenge the 161.8% extension of .6535-.6867/6679 at .7216 before a setback in wave 4.” Wave 3 ended at .7215 and wave 4 is either complete now or almost so at .7088. Price is expected to advance in wave 5 now and register a new high (above .7215).
Strategy – flat