GBPUSD Correcting Before Final Wave

Ville Vainio

GBPUSD is dropping lower and approaching the 23,6% fibonacci retracement level. I have forecasted this correction to bottom on this level but it can go lower. After this correction has found its bottom, I am looking for one more wave up before larger corrective decline.

June 19, 2015 @ 9:50 am – GBPUSD has come down a little. I see this as minuette wave 4 correction which has more to go on the downside. Perhaps 23,6% retracement level is enough for this to bottom and turn back up and continue the uptrend for the final 5th wave. more…

EURUSD: Groundhog Day Is Coming

Peter Adamson

If you did not grow up in North America as I did, you may not be accustomed to the charming tradition of Groundhog Day. The groundhog is a small rodent belonging to the marmot family. On the second of February every year, children all over the continent listen to the traditional story of the groundhog. You see, it is a very timid animal. According to folklore, when the groundhog comes out of hibernation and into the open air, if the weather is sunny it sees its shadow, becomes frightened and goes back into hibernation. I that case winter lasts for another six weeks. If, on the other hand the weather is cloudy, it stays outdoors and spring will come early. more…

GBP/USD Seems Bullish, Targeting 1.6000

Gregor Horvat

GBP/USD broke above May 14th high so looks like that rally since start of June is going to be impulsive. On the updated count we are looking at wave (C) that can rally up to around 1.6000 psychological level in days ahead. But nothing will move in straight line so traders must be aware of a short-term retracement back in wave 4 in the next few sessions, before uptrend will resume. Invalidation level is at 1.5444; as long it will hold trend is up. more…

EUR/USD Bearish Wedge

Janne Muta

Yesterday’s US May building starts and permits divergence was good news on net but didn’t have an impact on the US Dollar Index. The 11.1% drop in housing starts from an upwardly-revised April cycle-high reflected the tail-end of the winter’s weather gyrations while an 11.8% permits surge to a robust 1.275 mln new cycle-high rate bodes well for housing activity into mid-year. Starts under construction is climbing at a healthy 14% rate into Q2, and home completions have risen 28.3% over the past two months after a 17.3% February-March setback that was likely weather-related. The surge in new home construction and completions will fuel a climb in new home sales into mid-2015. more…

GBP/JPY Nearing Important Reversal

Ville Vainio

June 15, 2015 @ 4:33 pm – GBP/JPY on a sideways price action so far today. I am looking for a little more upside before larger reversal can occur. 193.00 or little above that would be plausible target for this ending diagonal pattern to find its peak. This uptrend has been weakening for weeks and can end violently and swiftly. When this reversal takes place I am expecting a multi month bearish trend. more…

Cable Could Be Eyeing Towards New Low

Gregor Horvat

Pound made deep and unexpected bounce in the last few weeks but recovery is still in three waves. In fact, we have seen some bearish turn in the last two weeks from highlighted Fibonacci levels. So if we consider that big trend is still down from last year highs, then we should be prepared on more weakness in days ahead, possibly back to the lows. However, it’s not a bad thing to focus on minimum expectations, which in our case means a fall to 1.5070. This is now very close, so a decisive break through that low, will also open door for 1.45 once again. more…

EUR/CAD Break To The Upside?

Ville Vainio

June 11, 2015 @ 2:31 pm – I have gone with the triangle scenario here in EUR/CAD. This pair is again right on the support zone around 1.38 and has been rejected couple of times before. If this triangle scenario proves correct, we should see a push upwards and the thrust measurement from the triangle gives target of 1.416 for the next wave.
Remember that if this declines past 1.375 this wave count is wrong and need to be revised. more…

GBP/USD Testing Key Resistance Ahead Of US Data

Farad Razaqzada

The GBP/USD is up for a third consecutive session, extending its gains from the base of 1.5170 formed on June 1. The upsurge has been primarily driven by a weaker US dollar rather than a stronger pound, with the dollar index now down for a third straight day. But the pound has also gained some ground on the back of some mixed bag UK economic data of late. Today’s numbers showed manufacturing production unexpectedly fell 0.4% in April, wiping out the March increase, while industrial production was up 0.4% over the month when an increase of only 0.1% was expected. more…

USD/JPY Could Hit 127-128 Before Bulls May Slow Down

Grega Horvat

USD/JPY is moved sharply up to our 125 projected level after recent break out of a bullish triangle. Triangle can occur in wave B, wave four, or wave X position. Because of a triangle in the middle of a big uptrend, we see it placed in wave four within an impulsive structure. Impulses will unfold in five waves before price will reverse, so we suspect that current leg higher is fifth wave, final part within much larger uptrend. With that in mind, we really have to be aware of a bearish reversal later this year. But for now, bullish momentum is still very strong and incomplete with the substructure in red wave 5), so we may see levels tested around 127/128 before bulls may come to an end. more…

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