DislikedWell, the upper border is likely to come on Monday anywhere between 1.9845 and 1.9867. The direction of the main diagonal is up, thus making the downward break more probable if everything goes as it is supposed to. Then about 220 pips should be the target for profit after the break (if to start calculations from the breaking point). In any direction. So, we will either see cable at 1.9530 ( if everything goes by the texbook scenario) or at 2.0080 (if for some reason cable will chose to make this diamond to be a reversal one).Ignored
If the break is downward, does that bring the rising trend line started on the 16/10/06 with a touch on the 15/03/07 into play, or is this trendline not a valid trendline?
I would've thought not as a rising trendline with touches on 29/07/06 and 16/10/06 parallels more closely the tops on 17/05/06 and 01/12/06.
Your thoughts are much appreciated.