An excerpt from FX-Strategy’s Pro Commentary
Bias:Mixed – waiting for breaks though cautiously prefer 159.18-25 supporting for a move to 160.28-37
Daily Bullish:Gains continued yesterday through 159.48 but stalled just short of the 159.74-81 resistance. A correction has occurred and while this remains above 159.18-25 there still appears to be upside risk which should move back above 159.62-74 and then further towards 160.28-37 which cautiously we feel will cap for another correction. Next resistance lies at 160.80.MT Bullish:Gains extend and we attempt to concentrate on the important resistance areas. We feel there is risk to 160.28-37 at least before a correction and then higher to 161.07-11 & eventually the 163 area. (February 23rd)Daily Bearish:Further upside has confirmed the risk as higher and thus we need to wait for breaks of key support to see any possible downside moves. First support is at 159.18-25 and if this breaks there is a chance of additional losses through 159.00 and down to the 158.54 area which should cause a small pullback at least. Next support is at 157.92.MT Bearish:The persistent strength suggests we need wait for any selling opportunities and only back below 157.20-50 would open the way for a deeper correction and possibly retest of the 156.23 low. (February 21st)
ELLIOTT WAVE COMMENTS
With the upside continuing we need to assess how far this can go. A 138.2% projection in Wave iii lies at 160.28.37, and a 176.4% projection at 161.07-11. We shall concentrate on these potential targets ahead of a daily target above 163.00.
While this move can continue directly we need the 159.18-25 and then 157.92 area to support to maintain a valid upward structure.
[*]FX-Strategy’s Pro CommentaryA service for GFT account holders[/ul]