Pro Commentary Lite ... 10th October 2007 ... USDCHF

An excerpt from FX-Strategy’s Pro Commentary
[B]Price:[/B] 1.1832

[B]Bias:[/B]While 1.1800-20 supports there is still room for gains towards 1.1927-50

[B]Daily Bullish:[/B]Price saw a small break above 1.1884 but held at 1.1893 from where we have seen a correction lower towards the 1.1800-20 support area highlighted yesterday. Currently I still see momentum as positive and thus I feel there is still room for further gains. This will require the 1.1800-20 area to remain supportive. A break back above the 1.1850-60 pivot resistance will assist higher and allow a retest around the 1.1893 high and then extension towards the ideal target at 1.1927-50 which should cap.[B]MT Bullish:[/B]The 1.1886-1.1930 has almost been met and while the 1.1800 level supports we should see this test. However, I see this providing a key cap. Thus only above 1.1960-92 would trigger stronger gains. ([B]9th October[/B])[B]Daily Bearish:[/B]We have seen the expected pullback lower which has reached the topside of the 1.1800-20 support target. We should be aware of the risk of this still reaching the 1.1800 area. There is also support at 1.1785 and only below here would cause direct losses. First stop should be the 1.1725-57 area which could cause a correction higher. Below extends to 1.1670-80.
[B]MT Bearish:[/B]We have see gains to 1.1869 and there are still risks of seeing 1.1927. From there I shall look for the downside to develop once again. Directly below 1.18 suggest immediate losses back to 1.1621-1.1716. ([B]9th October[/B])


[B]9th October[/B]

I feel we have seen two upward ABC structures and a new Wave a that should find a peak around 1.1874-86. This should be followed by a Wave b back to around 1.1800-20 to trigger the final Wave c higher to the 50% pullback in a larger daily Wave –iv- at 1.1927.

Note this new structure implies a Wave –x- (or Wave –b-) peak at 1.2468 from where we have seen 3 waves lower to 1.1621 and thus we are correcting this Wave –iii- from the 1.2232 high.
[B]Ian Copsey[/B]
[B]See Also[/B]

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