An excerpt from FX-Strategy’s Pro Commentary
[B]Price:[/B] 0.8975
[B]Resistance:[/B]0.89950.90190.90380.9061[B]Support:[/B]0.89250.89000.88750.8856
[B]Bias:[/B]While 0.8990-95 caps the downside can continue else risk for a move back to 0.9061-99 again
[B]Daily Bullish:[/B]Loss of 0.9046 triggered much stronger losses and given the risk that we have seen a complete correction at 0.9099 we should wait for confirmation of any further gains. We will need the 0.8925-30 area to support and for a break back above the 0.8995 resistance. If seen it would put the bullish stance back in play. We should then watch 0.9019 but above there will be suggesting a move right back to 0.9061 at least and quite possibly the 0.9099 high. [B]MT Bullish:[/B]We have either seen the high at 0.9099 or if this breaks then the 0.9189-98 area becomes implied but should provide a final cap in this rally. ([B]5th February[/B])[B]Daily Barish:[/B]The break of the 0.9046 low was the key level and did cause losses down to the targeted 0.8969-85 area and also down to 0.8939. While 0.8990-95 caps and we see losses back below 0.9025-30 it should imply stronger losses to 0.8870-80 at least. Take care there as this could cause consolidation. Breach extends the downside to 0.8805-15. [B]MT Bearish:[/B]With the move to 0.9099 we should wait for confirmation of losses. I do feel these will come but the rally has extended much higher than anticipated. Below 0.8969 would provide more impetus. ([B]5th February[/B])
[B]ELLIOTT WAVE COMMENTS[/B]
[B]5th February[/B]
Has this rally moved too far to be Wave efc of a flat correction in Wave B? It is unclear. However, there has been no great reversal signal yet and thus we should watch this carefully.
Back below the potential Wave b in Wave v at 0.8969 would be the first clue. Until then we cannot rule out stronger gains which could reach the 61.8% projection in Wave v at 0.9125, the 66.7% projection at 0.9149 and at most the 76.4% projection at 0.9198.
[B]6th February[/B]
So far so good – but we do still need to take out the old Wave iv low at 0.8814. Once this is seen it should imply stronger losses…
[B]Ian Copsey[/B]
[B]See Also[/B]
[ul]
[li]FX-Strategy Pro Commentary[/li]Solid & guiding analysis[/ul]