Trendsharks

Trendsharks

This week's NFP data is expected to reveal the slowest rate of U.S. jobs growth in over a year, while the ECB is likely to adopt a more hawkish policy stance. Both factors could prompt a minor bullish pullback on the EURUSD, though the pair remains in a very strong downtrend. If the price action manages to break out above the 20-day MA (in red) and middle line...

Trendsharks

The price action of the GBPUSD is busy developing a new downtrend, following FED's January policy decision and the better-than-expected GDP numbers in the U.S. for Q4. The downtrend is taking the form of a 1-5 impulse wave pattern, as postulated by the Elliott Wave Theory. Following the decisive breakdown below the 61.8 per cent Fibonacci retracement level at...

Trendsharks

Yesterday, Microsoft posted better-than-expected earnings for Q4, which is likely to help the reeling stock rebound. The correction is likely to be terminated around the previous swing low at 280.00 where a descending wedge is expected to be completed. The first obstacle for the eventual rebound would be the 23.6 per cent Fibonacci retracement level at 293.39,...

Trendsharks

The price action of EURUSD retreated back to a broad consolidation range spanning between the major support level at 1.12850 and major resistance at 1.13850, following a false breakout. The dropdown is currently taking the shape of a descending channel, and the price action is temporarily consolidating just above its middle line. Given that the underlying...

Trendsharks

The price action appears to be falling under a massive 1-5 impulse wave pattern, as postulated by the Elliott Wave Theory. Recently, the downtrend completed the second impulse leg (2-3), which clears the way for a minor bullish pullback. It is likely to take the form of an ABC correction, representing the second retracement leg (3-4); that is, if the price...

Trendsharks

Following the initial breakdown below the lower limit of the channel, the price action established a throwback to the 23.6 per cent Fibonacci retracement level at 1.36121. This creates excellent opportunities for contrarian trading. At any rate, the throwback is expected to be terminated below the resistance at 1.36400, underscored by the 50-day MA (in green)....

Trendsharks

The price action recently broke down from the ascending channel following the reversal from the resistance area (in red). The transition from the preceding uptrend into a new downtrend is happening in an expected manner: dropdowns being followed by pullbacks. Currently, the price action is probing the 23.6 per cent Fibonacci retracement level at 130.609. If it...

Trendsharks

The price action of USDCNY is currently establishing a major Accumulation range, as postulated by the Wyckoff Method, between the support level at 6.3450 and the 23.6 per cent Fibonacci retracement level. The completion of the preceding downtrend, underscored by the descending channel, is confirmed by the completion of a 1-5 Elliott impulse wave pattern. A...

Trendsharks

The price action is currently establishing an ABC correction following the completion of the previous 1-5 Elliott impulse wave pattern. Once the correction is completed, the price action is likely to continue appreciating. Bulls should look for a potential rebound in one of two places: either from the 61.8 per cent Fibonacci at 0.83387 or the lower limit of the...

Trendsharks

The price action of EURUSD continues to consolidate in a tight range spanning between the major resistance level at 1.13850 and the major support at 1.12850. The range-trading environment is confirmed by the current reading of the ADX indicator, which has been threading below the 25-point mark since the 30th of December. Given that the latest upswing, taking the...

Trendsharks

Following the completion of a major bearish Elliott Wave cycle, which was forecasted by our previous analyses of the GBPUSD, the price action of the pair is currently establishing a bullish pullback. The pullback recently reached the 61.8 per cent Fibonacci retracement level at 1.35820, which is where a bearish correction is most likely to emerge from. It could...

Trendsharks

The price action of the pair is currently probing the major support area (in green) following Friday's weaker-than-expected non-farm payrolls data. The report prompted a breakdown below the 38.2 per cent Fibonacci retracement level at 1.27062. The dropdown, being mart of the second impulse leg (2-3) of a broader Elliott pattern, is likely to reach the 61.8 per...

Trendsharks

The price action of EURJPY is currently testing the 61.8 per cent Fibonacci retracement level at 131.212, which is where the next bearish correction is most likely to emerge. The next dropdown could fall as low as the 23.6 per cent Fibonacci at 128.909, provided that no rebounds occur from the 38.2 per cent Fibonacci at 129.789.

Trendsharks

The price action of the EURUSD pair just rebounded from the 23.6 per cent Fibonacci retracement level at 1.13389, as well as from the middle line of the ascending channel. Thus, the price action is currently in the process of establishing the final impulse leg (4-5) of a major 1-5 Elliott Impulse Wave Pattern. Bears can therefore seek to implement contrarian...

Trendsharks

EURGBP fell earlier today following the release of the UK's weaker-than-expected GDP growth rate numbers for Q3. The price action is currently probing the major support level at 0.84850, underpinned by the 300-day MA (in purple). At the same time, it appears to be developing a bearish 1-5 impulse wave pattern, as postulated by the Elliott Wave Theory. If the...

Trendsharks

Following last week's turbulent policy decisions of the FED and BOE, GBPUSD is once again falling. The downswing commenced following the completion of a major 1-5 impulse wave pattern, as postulated by the Elliott Wave Theory. Notably, this occurred at the 61.8 per cent Fibonacci retracement level at 1.33781. This week began with a breakdown below the 23.6 per...

Trendsharks

The price action of the EURUSD started developing a new uptrend after a breakout from the major Bullish Pennant at the dip of the preceding downtrend. The first target would be the 38.2 per cent Fibonacci retracement level at 1.13812. This threshold was recently crossed by the 200-day MA (in orange), making it a more prominent turning point. That is where a...

Trendsharks

As we had forecasted previously, the GBPUSD has started developing a new uptrend. This happened following a rebound from the 38.2 per cent Fibonacci retracement level at 1.31676. The reversal marked the completion of a major 1-5 impulse wave pattern, as postulated by the Elliott Wave Theory, which substantiates the bullish expectations. Following BOE's policy...