After the break above important short term resistance at 126.91 I was expecting a rally higher towards 128.28. We have seen a rally beyond that point, but it is no critical in any way. A break above resistance at 129.34, would not be expected, but only a break out of the falling channel will indicate, that the wave 2 correction from 133.81 ended early and the next impulsive rally higher in wave 3 has already begun. However, if resistance at 129.34 protects the upside for a break below 127.81 and more importantly a break below 127.05 we know, that we have a top in place for a new decline towards strong support at 124.96.
We saw red wave ii of black wave v end at 1.6615 yesterday and as it would be expected of red wave iii, it was very explosive. However, I expect that it was only the first part of red wave iii and that we should soon see this rally higher continue towards 1.7109 and higher towards 1.7320. Short term I'm looking for support at 1.6810, which will ideally protect the downside for the next impulsive move higher towards resistance at 1.7109.
EWS- the Move from 124.95 to 128.10. LD of a C wave? to complete B at 132- then the big C to 118?
ReplyDeleteHi Jeff,
ReplyDeleteIt's a possiblity. I don't think it's the best option, but then we never know for sure, which count turns out to the right one. Our job is to pick the count we think is the most likely and the one that fits the Elliott Wave Priniciples the best.
Kind regards
EWS
Hi!
ReplyDeleteEurjpy broke 129,34 resistence zone!! So..what you think about this..is too early too make any clue?
Hey EWS nice call on falling trend line
ReplyDeleteBest Regards jt
Do you think that the Eur/Aud completed its III waves of 3?Best Regards!!!
ReplyDeleteHi Zink,
ReplyDeleteThe rally has held the falling channel-line as JT says. If this resistance-line protects the upside for a break below 128.81 and more importantly below 128.29 we should expect a new decline to strong support at 124.96.
However, if the channel resistance-line at 129.90 is broken. the we have eigther seen a premature end to wave 2 (less likely) or we are in a much more complex correction from the 133.81 high.
Kind regards
EWS
Hi Diversanta,
ReplyDeleteWave iii of 3 could be over as it's just a little more that 2 times wave i of 3. However, it could travel all the way to 1.4920, where it will be 2.618 times wave i of 3.
If we have seen a top for wave iii of 3, then we should see a break below 1.4007, so using this low as a stop on a long position would save you the trouble if you take your profit now and it continues higher towards 1.4920.
Kind regards
EWS
gbpusd it seems it wants to go more downs...its seems is building a bear flag!!
ReplyDeleteHi EWS:
ReplyDeleteI spent the last weeks in the south of Granada on holidays, nice place.
Coming to Madrid again, and watching at EURJPY, I expect a 2 wave of major degree along next months, perhaps until september or october.
In my count, we are in a "b" movement of wave A of major degree. I think when "c" end we will have the wave A of major degree, but there will be wave B and C? I think so
That's my count: http://www.mql5.com/en/charts/427285/eurjpy-d1-metaquotes-software-corp-temp-file-screenshot-48210?bind=1
Have a nice end of the day