EUR/USD - Is still working its way lower towards the next target near 1.2156. We are beginning to a possible divergence building on the RSI-Indicator, which is a warning, that we are closing in on the bottom, but such divergence can stay on for a long time and build into triple divergence, so just be aware of the weakening downside pressure, but actually we didn't need the RSI-Indicator to tell us that. Out Elliott Wave count already told us, that a possible bottom was nearby.
NZD/USD - Is working its way lower as expected and we are closing in on the possible red wave v (black wave i) target near 0.7855, which should cause a correction towards the 0.7990 - 0.8010 area in black wave ii. That said there is an alternate count, which is much more bearish. This count marks black wave i at 0.7918 and the rally to 0.7998 as black wave ii and that means black wave iii is well under way. If this count is the right one, then support at 0.7836 should be cut through as a warm knife will cut through butter.
EUR/JPY - Here too the anticipated price-action is working well. We should soon enter the ideal target-area between 95.75 - 96.75, which should mark the bottom of blue wave v and black wave iii calling for a shallow but complex correction in black wave iv towards the 98.00 - 98.13 area and setting the stage for the last decline towards the ideal target near 94.58.
EUR/NZD - Has traded down to 1.5308 as the lowest point yet and just above the ideal target at 1.5245. Is a bottom in place? It's to early to tell, but a break above 1.5492 will be a warning that the bottom could be in place already at 1.5308. If however resistance at 1.5492 holds, then we could see one more decline closer towards the ideal target near 1.5245, but as I said yesterday, we should trade this cross with the utmost care, as we are in the very last part of the decline from 1.6969.
EUR/TRY - One of my favorite crosses. You get a nice yield from TRY (something like 6% in yield) and with the price-action working in you favor, this trade is like a walk in the park.
I had a possible target near 2.2125, but as you can see it has been broken and that opens the possibility of a continuation towards the next target near 2.1221. The possible 2.1221 target is not a given case yet, but this scenario gains more strength as we don't break back above 2.2300.
Dow Jones Industrial Index - More and more evidence is piling up to the fact, that wave 3 down is well under way. A break below support at 12,450 will be the final nail in the bulls coffin.
Short term we should see a small reaction back towards the 12,681 - 12,717 area before the next decline through support at 12,450 confirm the downside action.
At no point should we trade above 12,737 as that will invalidate the bearish count for now a call for one last rally higher to just above 12,961 before down. This last scenario is not at all the preferred count, but a possibility we can't ignore as long as support at 12,450 isn't yet broken.
No comments:
Post a Comment