Yesterday we wrote that “ there is a chance that wave i of 3 is near complete and that a setback, ending near 1.5840, will begin soon. However, this is a major breakout and the potential for extension does exist.
Yesterday we wrote that “ there is a chance that wave i of 3 is near complete and that a setback, ending near 1.5840, will begin soon. However, this is a major breakout and the potential for extension does exist. Short term traders would be served well be lightening up on longs since this is just the second test of 1.60. However, keep the bigger picture in mind. The initial objective is not until 1.6325.” The retrace scenario is taking hold as we expected with test of 1.5860 likely
Visit our recently updated Euro Currency Room for specific resources geared towards this currency.
STRATEGY: Bullish, against 1.5611 (lighten up now and we’ll look to re-enter soon…probably near 1.5840), targets 1.6325 and above
Dollar yen is creating a knee jerk bounce as we write this but 105.37 remain formidable resistance and our bearish view remains unchanged.
Visit our recently updated Yen Currency Room for specific resources geared towards this currency.
STRATEGY: Bearish, against 106.81, targets 101.97 and below
Yesterday we stated that “Corrections are expected along the way and we’ll look to identify the end of those corrections as they unfold. Coming back to 1.9942 (congestion) is possible over the next few days. It is still possible (although we put the probability as low) that a triangle is unfolding and that a D wave will begin soon and end near 1.96. Our strategy is to take some profits now and hold the rest for a rally through 2.04. Move risk to 1.9810.”
Visit our recently updated British Pound Currency Room for specific resources geared towards this currency.
STRATEGY: Bullish, against 1.9810, target 1 is NOW, target 2 TBD
In writing about Swissie we noted that, “the pattern is not especially clear though, and we would rather pursue opportunities elsewhere. If the bearish bias is correct, then the USDCHF should remain below 1.0540 but a push through 1.0352 is possible.” In the short term 1.1050 provides resistance although if the pair clears it it would confirm a near term double bottom is in place.
We states yesterday that traders should be “be surprised to see a test of the lower triangle line near .99 before the USDCAD turns up. We’ll look to identify the bottom late this week or next week.” In the near term 9972 represents support
Visit our recently updated Canadian Dollar Currency Room for specific resources geared towards this currency.
Yesterday we stated that, “While we do expect a test of 1.00 at some point, we think it wise to exit at the confluence of this fibo extension (.9815) / long time parallel channel line. “ Today’s consolidation near 9750 suggests that for time being the pair has run out of steam
STRATEGY: EXIT
Yesterday we stated that the “next trade for NZDUSD will be a short against .7921. We’ll wait for now and see how action around this gap plays out.” Today’ very tight price action suggests that consolidation will have more room to run
STRATEGY: EXIT
Tell us what you think about this report: contact the strategist about the article at <[email protected]>