Tuesday October 19, 2004 - 00:37:24 GMT
Share This Story
FX-Strategy - www.fx-strategy.com
Forex: Daily Forecast for the British Pound vs U.S. Dollar 19th October 2004 Price: 1.7960
1.7985 ... 1.8010 ... 1.8040 ... 1.8068
1.7946 ... 1.7925 ... 1.7880 ... 1.7840
We cautiously look for a dip to 1.7925 before recovering to 1.8010-20
Since the image was taken we have seen a break of 1.7965 and thus we feel that a bullish stance needs be put on hold. However, we do see support in the 1.7925-35 area and from here we cautiously look for a recovery back to the 1.8010-20 area. Only a direct break back above 1.7985-1.8002 would imply continued gains to 1.8020-40. Further resistance is found at 1.8068-1.8090.
With this morning's break below 1.7965 we feel the initial move today will be lower. Losses may stall for a while above the 1.7946 low but we look for a test of the 1.7935 corrective low at least and suspect a marginal break to 1.7925. However, we feel there is a strong risk that this area will hold. Thus only below 1.7920 would allow losses to extend towards 1.7880 and probably the 1.7835-40 area.
Elliott Wave Comments:
11th October 2004
Once again we are forced to alter our medium term wave count with the move above 1.7930 suggesting that the decline from 1.8161 to 1.7744 was merely a correction to the rally from 1.7706 to 1.8161. We therefore label these Wave [a] and Wave [b] and suspect this could either imply the first two legs of a triangle or at the most a rally up to the 1.8255 area.
18th October 2004
The move to 1.8063 suggests the Wave (c) of the triangle is now complete (with a small risk of seeing 1.8090 first) and should now target the 1.7805-40 area for completion of Wave (d).
(c) FX-Strategy Inc 2004
Disclaimer: Pro Commentary, FX-Strategy, FX-Strategy Pro Charts, and any related products or services, are analytical tools only and are not intended to replace individual research. The information provided here should not be relied on as a substitute for extensive independent research before making your trading/investment decisions. FX-Strategy is merely providing this service for your general information. No representation is being made that any software or training will guarantee profits or not result in losses from trading. The views are not necessarily those of FX-Strategy, its owners, officers, agents or employees. In addition any projections or views of the market provided may not prove to be accurate. FX-Strategy will not be responsible for any losses incurred on investments made by readers and clients as a result of any information contained in this service. Be sure to closely read and understand the risks of foreign currency trading as described on the FX-Strategy website.
Forex Trading News
Daily Forex Market News
Forex news reports can be found on the forex research
headlines page below. Here you will find real-time forex market news reports
provided by respected contributors of currency trading information. Daily forex
market news, weekly forex research and monthly forex news features can be found
Real-time forex market news reports and features providing
other currency trading information can be accessed by clicking on any of the
headlines below. At the top of the forex blog page you will find the latest
forex trading information. Scroll down the page if you are looking for less
recent currency trading information. Scroll to the bottom of fx blog headlines
and click on the link for past reports on forex. Currency world news reports
from previous years can be found on the left sidebar under "FX Archives."