Euro $

Good Morning

The chart above is a hourly view of the Euro$. The lines drawn are the same as I placed on the h4 chart last evening. The channel has held and the pair has broken the red line which defines the rsing wedge. Look to get short as that line is tested at about 1.2610. Like all wedges its against the trend on a hourly view. On the Euro the daily trend is down in my view.

I am trading in the www.whichwaytoday.com room all day.

I will post here when I enter the Euro$

Have a great trading day.

David

Euro $

Hi Everyone

I forecast a w5 up in the Euro today and it happened as shown above. The technical position is that the equidistant channel posted this morning is now acting as resistance and the pair has bounced off the upper line defining the channel , to the tick. I also observe a rising wedge with resistance just above the channel. For Elliott wave followers the ABC pattern in the chart above looks very corrective. Its hard to see any structure in A, but B is a classic 3 wave pattern and wave C is a rising wedge. It should be in a text book.

One things for sure. The Euro will make a decision for us,on the primary trend, in the next day or two. As far as I am concerned the daily trend in the Euro is still down. I will be watching closely.

Untill the dawn

Have fun and enjoy the football

David

euro $

Good morning

I present two charts of the euro $ above. The first is a daily view which shows a clear equidistant channel at work. The second shows the h4 view and presents a Elliott count of the impulsve wave which began last week. If my count is correct the Euro $ has a wave 5 of this impulsive wave to come fairly soon which would take the pair up to the resistance offered by the channel on the daily chart. This would be a move by the Euro $ from about 1.2550 to 1.2650. A very good way to start the trading week. Lets see what the market says at the London open.

I am trading all day at www.whichwaytoday.com but will post what I am doing at 800 GMT.

Good Trading

David

A very quiet day on the Forex markets

Hi Everyone
I suppose it should be no real surprise that today was a non event. In the www.whichwaytoday.com we traded twice ,with both trades being scratched at no loss. The trades that I reported on yesterday and still looking good. I will look for entries in the morning.
The euro yen is in the process of charting ot a massive multiple inside bar pattern and a break should start a strong and tradeable move. Momentum studies on the h4 and the trend as defined by the 89 sma predict that the Euro Yen should fall tomorrow. Lets trade the market not the forecast .
See you at the open in London
have a fun evening
David

Aud$

Hi Again
The Aussie is showing reverse divergence on the four hour chart. This means that there is a high probability that the trend down will restart in the near future. In terms of price action the H4 has made a 2 bar outside reversal and a evening star candle pattern. Both are indicating a short position in line with the 89sma and the stochastic.
I shall be looking for a suitable elegant entry short in this pair from the hourly market action on Monday morning.
Best wishes
David

Euro Chf

Hi Everyone

I missed the rally in the Euro Chf last week. There was a great trade on Friday last but my focus was elsewhere and I missed it.

The H4 ,Euro Chf, is looking overbought and is showing reverse divergence. The latter suggests that the down trend is about to start again. If we look at the H1 it is clear that the pair has made "3 drives to a possible top". The H1 has made a 2 bar outside reversal and I shall be looking for a reason, from Monday mornings price action, to get short of this pair. Remember its a holiday in the US and many traders on both sides of the Atlantic may have taken a long weekend.

David

Euro Yen

Hi Everyone
I have been fully focused on short term trading in the www.whichwaytoday.com live trading room and I am happy to report that we had a good months trading in June 2010.
Above I show a classic rising wedge on hourly EuroYen which has found resistance at a 50% retracement of the last major range. The stochastic is showing a reliable divergence pattern which adds to the probability of the wedge forcasting the move correctly.
I will look to get short of the Euro Yen on Monday morning.
A break below the low of 109.80 looks like a good entry using a SELL STOP order. At present the technical situation favours a stop loss above 110.33. THIS CAN EASILY CHANGE OVERNIGHT.
For those,who are eager,an order can easily be placed at the open on Sunday evening. I will look at about 0500 GMT on Monday morning.
Enjoy what is left of the weekend and remember its a holiday in the US on Monday.

David