Euro Stronger, GBP & Down Under Not So

EURUSD The break of the 8/5 high left a clear three wave decline from the 8/2 high, and we think higher is still to come. In fact, we’ve altered our larger count, now suggesting that prices are in wave (E) of ((X)) up from the low. That means the near term down trendline may break, Euro Stronger, GBP & Down Under Not So

QE is Ambulance That Runs Over Patient

EURUSD Our working assumption is that the entire consolidation from the 2015 low is corrective to the upside. Additionally, we potentially have a 1, 2; (i), (ii) count from the May high. Certainly, if that count is correct the downside is substantial. When you add the near perfect 61.8% retracement of the wave 1 decline, QE is Ambulance That Runs Over Patient

Gassing Up the Helicopters

EURUSD Only brief comments tonight. EURUSD has run into resistance three times now post-Brexit. The sideways consolidation likely means continuation, which in this case is lower, and perhaps sharply so. A break of the up trendline cements Thursday’s high as critical resistance. Until then, further sideways action could develop. It would take a push above Gassing Up the Helicopters

Keeping It Simple with Elliott Waves

EURUSD Pretend for a moment you know nothing about the pair above, and instead focus on the lack of an impulsive advance from the December low, and the broken trendline off the low. Both of those would be bearish by themselves. Combine that with a retest of the broken trendline, a very common occurrence, and Keeping It Simple with Elliott Waves

Do Dramatic Moves Suggest Further EU Breakup?

The Wolf suggested traders take the week off, and despite the dramatic moves, one could have made the case that was the thing to do for swing traders, although it was a day trader’s paradise. Now that Brexit has come and gone, literally, what does that mean for currencies, and more broadly economies, and the Do Dramatic Moves Suggest Further EU Breakup?

Traders, Take the Week Off…

EURUSD We’re still bearish, looking for an expanded flat to unfold for wave (ii). Ideally, prices will remain below the down trendline to keep our count firmly on track. Obviously, we have event risk this week with the Brexit vote happening on Thursday. We might have a sleepy week until then, and then strong whipsaws Traders, Take the Week Off…