Tuesday, May 8, 2018


Mainly, we have basically seen a ranging consolidation – of sorts. It would appear that EURUSD may be taking the short-cut route to complete the final decline. Having said that, this will need a deep Wave b/v and that’s a key point to find its low. The other pair that has not completed a 5-wave decline is GBPUSD. There is a potential risk of the deeper Wave iv here – but we’re going to need to identify the break levels that could then end up with a deep Wave b/v also.

The other two majors – USDJPY and USDCHF – appear to have found their highs. Certainly USDJPY but I’d allow a new high in USDCHF just because it’s a very tough market to judge with its spiderlike development. On the whole, we should still be looking for Dollar losses in these two pairs soon.

The sluggish losses in EURJPY have been rather ragged but it should continue to develop losses but of course, with the required pullbacks. That tends to suggest that USDJPY will have to do the work because EURUSD needs a deep pullback at some point. The alternative is just a sideways consolidation before losses resume.

As for the Aussie, it has taken an extremely long-winded development, obviously wanting to see the outback on a tour. However, the main direction should be higher…

Good trading
Ian Copsey  

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