Wednesday January 12, 2005 - 00:52:49 GMT
Share This Story
FX-Strategy - www.fx-strategy.com
Forex: Daily Forecast for the Euro vs U.S. Dollar 12th January 2005 Price:
Resistance: 1.3140 ... 1.3170 ... 1.3200 ... 1.3230
Support....: 1.3097 ... 1.3065 ... 1.3023 ... 1.2997
Cautiously we look for 1.3140 to hold and for losses to continue towards 1.2930-40
The anticipated retracement moved marginally above our 1.3164 target but until that breaks we shall prefer a bearish scenario. However, we should be on warning that the recovery from 1.3023 has taken longer than expected and tends to take a little shine off of the bearish stance. Thus only above 1.3170 would cause us to look for continued gains which must also break above 1.3200 to give a more bullish tone to the market. This would then imply gains should extend higher towards 1.3300 at least and we suspect to 1.3335-45.
The retracement only marginally broke above our 1.3164 target and while the recovery was slow, until the 1.3170-00 area is broken we still feel the downside has more legs. We require a break below 1.3065 to assist and this should quickly lead to a test of the 1.3023 low and onto 1.2967-97. There should be a small pullback here before losses down to the ideal target at 1.2930-40. We feel this will hold - a break would imply a deeper move to 1.2860-90 before higher.
Elliott Wave Comments:
11th January 2005
We have broadly seen our revided scenario calling for a move down to 1.2930-40 develop and this appears to have come in three sets of ABC moves, the final pattern developing from Friday's 1.3250 peak and we see a minimum (and favored) target at 1.2930-40 which is implied by the prior Wave [iv]. This area would normally hold under Elliott guidelines although we should allow for a small extension down to 1.2860-93. With the final ABC pattern complete it should imply a retracement of around 50%-61.8% at least which comes in around 1.3300 and 1.3387 approximately.
(c) FX-Strategy Inc 2005
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."