Double top stalled the bulls...
- #344
- Edited 1:15am Oct 17, 2012 1:09am | Edited 1:15am
- Joined Nov 2009 | Status: Trader | 2,582 Posts
Thank you guys (for 100) 
...
I like my brokers (fxpro) daily brifings. One of the things they said today:
...
I like my brokers (fxpro) daily brifings. One of the things they said today:
- GBP: The minutes of the MPC meeting have the potential to soften sterling if there are more signs that members are looking to extend QE; the current program is coming to an end next month. Inflation could well be heading higher short-term however.
- #348
- Oct 17, 2012 3:09am Oct 17, 2012 3:09am
- Joined Nov 2009 | Status: Trader | 2,582 Posts
Thank you guys (for 100)
...
I like my brokers (fxpro) daily brifings. One of the things they said today:
- GBP: The minutes of the MPC meeting have the potential to soften sterling if there are more signs that members are looking to extend QE; the current program is coming to an end next month. Inflation could well be heading higher short-term however.
Indeed, you cannot rule out a higher high. But 127 is providing heavy resistance (at the moment).
- #353
- Edited 8:37am Oct 18, 2012 8:23am | Edited 8:37am
- Joined Nov 2009 | Status: Trader | 2,582 Posts
In April , GJ continued to rise from 127.1 ... and rise ... and rise. Everyone was asking whether it would ever go down. Myself included. Well, guess what. It stopped rising and then fell.
I have previously commented here that some recent moves have similarities with several price movements in the rise from 117.2 starting in January of this year.
Compare especially the two yellow/gold coloured boxes. The right side box is (so far) very much a smaller copy of the left side one. The middle bit is a little higher because of an NFP news spike. All up, though, A Mini-Me.
Also please note the distance travelled (in pips) for all the various moves. Those measurements are all within 3~10 pips as shown.
For those who wonder what might happen when it stops going up, the moves in May and June 2012 may just hold a clue.
I have previously commented here that some recent moves have similarities with several price movements in the rise from 117.2 starting in January of this year.
Compare especially the two yellow/gold coloured boxes. The right side box is (so far) very much a smaller copy of the left side one. The middle bit is a little higher because of an NFP news spike. All up, though, A Mini-Me.
Also please note the distance travelled (in pips) for all the various moves. Those measurements are all within 3~10 pips as shown.
For those who wonder what might happen when it stops going up, the moves in May and June 2012 may just hold a clue.
- #355
- Oct 18, 2012 9:46pm Oct 18, 2012 9:46pm
- Joined Nov 2009 | Status: Trader | 2,582 Posts
Nice oneThere also talks BOJ will come up with new stimulus that will probably weaken the yen. Strong data from the UK should keep GBP/JPY bullish momentum fairly supported
From a technical standpoint, only a break above 128.86 would mean GJ becomes bullish, with 133 a very real option.
Otherwise, I'll stick to my very bearish view, although it would appear to have another up-move left in it.
Those pip distances I showed on the previous chart all have fibonacci 61.8 relationships to each other, giving the strongest hint possible that GJ is in a contracting triangle. If those rules stay the same, the next move should be down, and probably for either 800 or 900 pips from where it tops. Unless 128.86 breaks.
Maybe even sooner then Friday, from Financial Times:
Cameron hints at 'good' GDP figure David Cameron told the House of Commons on Wednesday that "more good news" on the economy was imminent, raising expectations that Thursday's gross domestic product figures will show Britain has pulled out of recession.
Cameron hints at 'good' GDP figure David Cameron told the House of Commons on Wednesday that "more good news" on the economy was imminent, raising expectations that Thursday's gross domestic product figures will show Britain has pulled out of recession.