Main Pair Ideas

USDCHF

Wave-unit developing off divergent lows. If price shows support at 0.9045 (daily lows close) it might lead to a correction breaking above 0.9060 the consolidation boundary; a wave that might be the beginning of a larger bullish move. Structurally price could develop bullish patterns from here however, there is a lot of room for more consolidating patterns.

EURGBP

Lower-highs yet to be established on this pair. Likely area is between 0.8430 and 0.8450 intersecting with a daily high close and a descending upper trend line. Stronger expectations for activity in this area.

GBPUSD

Lower-high could develop between 1.2450 and 1.2650. Will be watching it develop closely.

AUDUSD

Three good areas to expect resistance and a possible lower-high: the trend line at 0.6390, the weekly low close at 0.6415 and the August lows at 0.6480.

EURUSD

A relevant high could develop here at 1.0500.

USDCAD

Higher-low rejecting from a daily low close produced a bullish wave with good volatility. Taken with the divergence this suggests another higher-low could produce a similar bullish wave of good volatility. Watching 1.4320 closely for smaller higher-lows or changes in volatility that might indicate this interpretation is correct and give us a precise entry.

Good Trading.

20th Jan Analysis

This week's analysis focuses more on the wave-units and the small 'ideas' that we build trading decisions around and less on the larger context and our attempts to 'align' waves of price action across multiple time-scales at once. Both perspectives are necessary and the ability to balance and make informed decisions using both is a skill that I believe has no ceiling; there is always ways you can improve. So today we focus on the other side of that equation.

Good Trading

Weekly Analysis

Looking at trends this week we notice all the $ crosses pairs are deep in their current waves in a bullish dollar trend. Its unlikely we will find opportunities on smaller timeframes to get into this current wave, we will instead wait for a pullback. This might take a few weeks. However the $jpy and $chf are showing some signs of developing a swing correction type setup, which I've discussed above.

Apart from the main pairs I had recently taken a position on that aud/chf we recently analyzed and on the nzd/chf also. The nzd/chf has since been closed off with a small loss as price gave no indication it was finding support at that 0.5090 level we mentioned.

I will likely post another 'real-time' analysis update later in the week of whatever pair I happened to be analyzing at that moment in time.

Good Trading.