Joined Mar 2006
Status: Trade the reaction not the news!
On hourly (60 min) chart it appears we are into wave 5 of 5 of wave , of abc of wave e of abcde which, if I am correct, means close to the end of the complete ABC Wave 4 correction on daily basis and resumption of bear to new lows.
First chart shows overall picture and second zooms in for more detail including approximate fib zone for wave 5. Time-wise probably within the next 4-6 60min bars (Sun night NYTime or latest Mon morn).
Let us see if BOJ Governor's statement this week provides enough punch power to weaken YEN to get economic growth going forward again. I reckon it will unless they already know that there is bad news coming out of Yellen statement because then their QE money spent would be money down the drain as markets would fall after Yellen speech either way due to US market influence on international indexes.
Bullish sentiment remains intact among traders once again.
Similarly to the previous week, Non-commercial traders dumped 5K short positions and left longs almost unchanged.
The level of short positions has been dropping significantly in this market. Non-commercial traders now hold less than 30K short postions. The level has not been seen since the summer of 2012. Long bias continues. The next logical support is at 105 ( allow for pullbacks)