....Ok...... So I spent some more time to go over gchf since it has extended. I would like to point out that it did a W-X-Y double combo pattern in the form of 7 swings. For this pattern you would expect equal length to 1.236 extension. Hit 1.236 today, along with the .764, which would also be conducive with a continuing pattern which would need to come down to most likely that .618(longer .618 line) Keep in mind GU hit the high also. It also lines up (roughly) with about equal time span of each pattern within the combo. These pitchforks are not necessarily drawn how anyone else would draw them, but take a minute to really look at the medians (red lines) and how price follows them...... Anyways strong level. I've looked sells lower down looking for a different pattern, or at least a sharp 3 wave this move, but all it did is keep extending, right to the fib extension. The issue is as of right now we have no reversal pattern or ending diagonal, plus Gchf could go into a large sideways consolidation (which would still probably produce a nice sell). We might even get a zone bounce (see horizontal green lines). The daily TDI WAY over extended. So is the weekly. Just please keep in mind this is not a 5 min chart... That is the daily..... We have nothing but a 4hr pin bar right now. There are different ways to go about attempting this trade and not put yourself at too much risk. If you want to learn about price action along with this stuff then subscribe and watch my you tube channel. I did a live trading session earlier, I go over a lot of charts... (it's free guys)...
Comment:
throw a 200 MA and a 50 MA on it and check out the weekly and the monthly. And is it possible it extends up to that supply zone? why yes. of couse, anything is possible in the wonderful land of forex, that's why I would like to see a larger reversal pattern. but for now, at least I know how I will go about trading this pair until something changes.
Comment:
I noticed an issue with the trend fibs on that W-X-Y pattern. I mark up my charts on oanda and somehow did that on FXCM. I checked several brokers and the fibs can differ. This caused me to spend more time on the lower time frame wave analysis. Still a strong level regardless. we are just in a consolidation right now. I will just do a very quick live stream on my channel at 8:30 eastern, that's in 50 min, to explain what I see. That's the only way. Then I'm done for the day. I'll show u Cad/Jpy real quick too.