It is obvious - market was in huge channel for the past 8 year since 2008 crisis. Lots of theories suggest that markets evolve into big cycles of 6-8 years. As we add even cycle pattern on this monthly chart, we see the past 2 cycles evenly changed direction after 8 years period. And now we are at the end of last cycle (90 month) since last trend reversal.
As it is obvious in chart - major support level of 1.07 hold strong, and marked made double bottom. In the other hand all time low and high Fibonacci retracement level of 61.8% is broken down and tested from below. This is strong resistance level now coincided with round price number of 1.12. There is strong signals to short side as candle patterns and price action are obvious. Will 8 year market cycle theory become true, or the price action will win this battle of bears and bulls? We will see soon. :)
For more detailed and more frequent ideas, reviews and analysis you can contact me here, on facebook or website.
Best wishes for new incoming trading year! ;)
As it is obvious in chart - major support level of 1.07 hold strong, and marked made double bottom. In the other hand all time low and high Fibonacci retracement level of 61.8% is broken down and tested from below. This is strong resistance level now coincided with round price number of 1.12. There is strong signals to short side as candle patterns and price action are obvious. Will 8 year market cycle theory become true, or the price action will win this battle of bears and bulls? We will see soon. :)
For more detailed and more frequent ideas, reviews and analysis you can contact me here, on facebook or website.
Best wishes for new incoming trading year! ;)
