Hello Aerocom thank you for sharing your view - we are not far from reaching a good entry for a short aiming towards 1.54 - When the overall trend is sideways as it has been since last 2011 - does EW work better or worse?
Alejandro;
I don't do anything but technical analysis and Elliott is the tool that I rely on. In a sideways market, I use channeling but the waves still subdivide. If I get clear 3's, the high probability trade is the C wave.
The problem for me is the amount of time I need to make a chart. That is where I think automated Elliott system software would be beneficial.
London session review and outlook July 9 - 2012
Review of markets covered in today's edition of Bulls vs. Bears: EUR/USD, GBP/USD, AUD/USD, FTSE100, S&P500, Gold, Brent Crude and WTI.
It might take up to 30 minutes before this is ready to be watched
Regards
Alejandro Zambrano
Currency Strategist | DailyFX Forum (London) azambrano@fxcm.com
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GBP/USD had fairly strong bounce the last hour on the news that UK manufacturing production in May grew 1.2% m/m vs. -0.1% m/m expected which is bullish. 1.5550 is short term resistance in the overall down trend but if this is indeed true resistance then we should not trade as close to it as we are doing right now. I am therefore bullish over the next few hours expecting us to reach 1.56 which is the next resistance level as long as we trade above 1.5490.
Only breakout under 1.5490 would shift the bias from bullish to bearish.
If you have any questions about this scenario or anything else trading related feel free to write to me here on the forum.
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GBP/USD 60 min chart
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GBP/USD A good amount of stop loss orders are expected to be triggered if we extend over 1.5550 - taking us to the 1.56 level.
Some long wicks at 1.5550. Hope we hold. Taking a small beating on my GBP shorts, EUR/GBP short is saving me from going in the the red.
I expected AUD strength, but not GBP strength. I think I.5550 is going to hold the fort. Over lapping waves from 1.5500 to 1.5550 usually indicate just a correction, before moving lower.
Peace
Edit: After review I would think the best it could do is 1.5625
Just post if you are Long, Short or Flat a particular currency pair. No need to post a chart or lengthy explanation if you are not so inclined.
This is a neat way of seeing the sentiment of the room!
Let's get this party started!
I'm short Euro at 1.2289 Limit 1.2269 stop 1.2309
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Some long wicks at 1.5550. Hope we hold. Taking a small beating on my GBP shorts, EUR/GBP short is saving me from going in the the red.
I expected AUD strength, but not GBP strength. I think I.5550 is going to hold the fort. Over lapping waves from 1.5500 to 1.5550 usually indicate just a correction, before moving lower.
Peace
Edit: After review I would think the best it could do is 1.5625
cool got a really good entry (see first ellipse) and positions went pretty much into profit straight away. As I did not need to have my stops at the intended level the position was pretty much risk free and I added 50% more see second ellipse. I would had have a good profit if we had pushed higher - lets hope for better luck next time.
did you manged to get some from your short or did you close out? Whats your take on the market now?
Last edited by Alejandro Zambrano; 07-10-2012 at 11:42 AM.
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Originally Posted by Alejandro Zambrano
Hello Aerocomthank you for sharing your view - we are not far from reaching a good entry for a short aiming towards 1.54 - When the overall trend is sideways as it has been since last 2011 - does EW work better or worse?
