Wednesday, December 6, 2017

The market seems to have given up…

I know I made a similar comment yesterday but, by heck, this is painful. I can see that the lower degrees are being split up to even lower degrees, they fuel more data points and therefore more risk of errors. The underlying outlook is Dollar bullish but there will be broad swings along the way.

I have some reservations in USDJPY and the break level for losses is at 112.35. Until then, maybe – just maybe – we can see a minor new high above 113.08 but if this is seen, most likely, it will turn lower again. EURUSD is taking a broad swinging decline and that should also provide some swings. I want to call USDCHF higher – but prefer to wait for a break above 0.9887…

This should see EURJPY extend losses also considering the (underlying) bearish EURUSD but a range bound USDJPY so it tends to suggest a rather sluggish downside, perhaps with intermediate swings on the way.

The Pound is bouncing around like a ping pong ball but I still have a preference for gains. Once this structure has found a high we can begin to look on the downside – or a direct break below 1.3350…

Finally, the Aussie has topped out and while there will be pullbacks, the main outlook is to the downside…

Good trading
Ian Copsey  








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