Simple & Consistent Fibbing Method

We are at a critical level which can lend to further selling toward 1.4894, where we have major support. We are also trading below Friday's support, now resistance, which can prove tricky to the immediate upside movements.
The blue horizontal lines represent resistance at 1.5125, 1.5165, 1.5214 and 1.5254. All areas to watch on the upside.
http://img211.imageshack.us/img211/2953/week3.jpg

Hi All,

Please find attached review of Friday's trade Setups for GBP/USD- March 19th 2010.

The upcoming week contains inflation figures and the budget release, among other indicators. Britain had a significantly lower number of unemployed people. Which should of sent the pound 5350. But it tanked. Here is my analysis of the Great British Pound:

Monthly Outlook:
GU opened and closed lower than the previous month. Continuing its downtrend, after making a 50% ret. of the major swing (down). Price stopped at the 19.1% level in its "C" swing of the ABCD pattern. Which is now making a pennant on the right shoulder of a H&S pattern.

http://img215.imageshack.us/img215/2692/cmcapture1n.jpg

Weekly Outlook:
GBP has been in a tight range (5380-4782) for the last three weeks. After making for 2009, it retraced to the 61.8% ret. and made tweezer bottoms and a hanging man/doji. Price is caught between the 50% and 61.8% levels. There is MACD divergence (to the upside) of last major swing (down).

http://img692.imageshack.us/img692/6798/cmcapture2j.jpg

Daily Outlook:
Gu have been in a 400 pip range for this month. It has hit the -34 T1 monthly target and bounced to the 19.1% level and was rejected. This down move is a correction of the MACD divergence from 6/09-12/09. Price is between the monthly low and T1, with a long bold bear candle. It has closed back inside the inner trendline and the 10 DMA.

http://img692.imageshack.us/img692/6798/cmcapture2j.jpg

4hr Outlook:
Last week the pound opened at 5175 and ranged from 4977-5380; making it's weekly open its pivot point. Making higher highs, and higher lows, it closed at last week's low.It closed lower than the previous week. It made the beginnings of a Morning Star candle formation (green box), which is bullish.

http://img707.imageshack.us/img707/9295/cmcapture4.jpg

1hr Outlook:
The pound has broken out its two day channel to the downside. Making our daily bull targets: 5343 and 5399, and our bear targets: 4897 and 4841, respectively.

http://img294.imageshack.us/img294/3186/cmcapture5.jpg

I apologize for placing two weekly charts. Here is your daily chart to give you a visual of my analysis:

http://img69.imageshack.us/img69/4128/cmcapture3.jpg

Long from our first breach level at 1.4950, targets now at 1.4995 to 1.5005.

Resistance at 1.4980.

http://img535.imageshack.us/img535/283/next2d.jpg

We have price rejection to the downside of Friday's fib (that is the fib from Friday's high to Friday's low). As a result, we adjust Friday's low to today's low and target the 80.9 to the upside and beyond that the 134 and 155%.

For today we are looking toward 1.5150-80, should be have continued bullish movement. 1.5015 Resistance needs to be broken for further buying.

We are currently buying off this morning's 50% level at 1.4972.

Market is in bulls control. All our signals told us this before hand. Look at the beautiful motion of price action as it hit our targeted levels/signals to let us know where pa is going.

http://img185.imageshack.us/img185/7779/cmcapture1r.jpg

http://img146.imageshack.us/img146/372/cmcapture2.jpg

We see a continued bullish market. Keeping Resistance at 1.5150-70 in mind. We just hit a major breach level at 1.5076 and are now buying off the intraday 80.9%, targetting 1.5131 to 1.5163. Pullback is however anticipated before higher highs today.

Good stuff aswilled!

Hi Earth2Pip,

I am trying to send you a PM, but cant. Can you please allow me or email me at [email protected]?

Thanks!

what was everyones pip count for yesterday? i went to sleep early as i have a bad fever should of let my long run

Good Morning dj, sorry to hear about your fever. Closed +227pips yesterday.

Good Morning Traders,

We have strong support at 1.4970 which can give room to strong buying toward the 1.5200-1.5220 area. Be cautious on short trades near this area. This level must be broken for further selling to take place.

Happy Trading!

Good Morning

Thanks Simoneg....

will keep this in mind while covering my short

take care

I have a bullish outlook from 1.4970 on this pair today. Our Intraday bull targets are 1.5140 and 1.5166 which would complete yesterday's ABCD wave. Even though we can extend higher to 1.5200, we will hold that area as the targeted price.

Longs at or above 1.5018, are good once we have a close above this area.

I am unable to post any charts so I will review later on today.

The current 50% breach fib has been drawn from 1.5045 to 1.4970.

Areas to watch: 1.5033, which is our intraday pivot (50%). The 61.8, 80.9 and 100% must be eyed beyond there!

http://jameswoodward.files.wordpress.../amazement.jpg

Can't wait to jump into it I am almost done with Bobokus thread - gives me MUCH better understanding of Your method - btw, great PDF! Thanks a lot!

Thanks Vark!

great method! been eyeballing this thread for a few days and love the accuracy!! thanks for the insight simone.. by the way, what part of JA are you from?

Thanks Atltrader! I'm from St. Catherine, are you from JA?