GU, GJ and EU Analysis Thread

Indeed, rode it down from .8450 to .8290-ish... I can't remember the exact point at which I got cold feet and cut short from my target of the 61.8 FE.

Was looking again at the end of last week for another bite if PA started to mix it again with the descending Guppy profile on the daily. That criteria is met, and so I am watching Cable and the Dollar for indications of an entry point.

The monthly and weekly seem primed for a rejection south.

CNDollar... nice post.

........Very nice posts, very nice analysis like always from great traders like your self's.......... have a good week ahead, Smikester 45 and CDN......

GBP/USD DAILY CHART

We are in the resistance zone. We may see a sudden drop to the 1.5480

BE CAREFULL !!!

EUR/USD WEEKLY CHART

TREND-LINE ANALYSIS

We came edge of the trend-line. We can see a sudden drop to the 1.2750-1.3115 area.

BE CAREFULL !!!

EUR/USD DAILY CHART

DOUBLE TOP "M FORMATION"

We may see a sudden drop to the 1.3115

Euro & Cable started the new year with corrections from new highs..
While a few figure PA may look like a falling Tsunami to S/T & intraday types.. for long distance players, the levels of interest are last December highs & November lows with January's tendency to print the high & low for the following 6 months to a year..

Boomerang Update:
July --> August --> September--> October--> November --> January

Above the 1.33~1.34 yellow brick zone, up trend continuation from last July with M/T targets 1.40~1.50..
Sustained weeklies below tilts the odds for a return to the 1.27~1.20 L/T support zone..

Path of the elephants:

Strong L/T support base from the July 2012 lows attracting Large Spec money buying on every good size dips..

A view of "Abenomics":

"In that context comes the monetary insanity of Abenomics and the economic freak-show of Japan Inc. After 20 years of relentless borrowing and money printing, it teeters on the edge of an economic abyss, shackled with massive public debt, a shrinking/aging population, a rapidly depleting savings pool, comically low interest rates on its public debt and a truly horrid fiscal posture—namely, it will need to borrow 50% of every dime its spends in the year ahead, even with the long-overdue rise of consumption taxes beginning in April."

Taken out of context from here.

Looking at Cable:



February closed strongly a bit higher than the last 5 years. The February candle is intriguing because it is an engulfing bullish candle by any definition, with a strong close above resistance. This, followed by an inside bar. We also have a volatility reading - Monthly ATR(24) - lower than it has been for more than 10 years. If the trend had been a bit longer then that inside bar would be an obvious long trade, albeit attenuated to daily or lower entries, it being 300+ pips.

I can say with certainty that something will happen. I hope that something is surprising in the form of a volatility break out - probably an inside bar continuation, possibly a hikakke type reversal.

Yesterday was the highest daily close for a long time. 2009 to be exact. Since we have good numbers coming in, perhaps 1.68 won't be a reversal point?