Sunday May 15, 2005 - 12:29:41 GMT
Share This Story
FX-Strategy - www.fx-strategy.com
Forex: Daily Forecast for the British Pound vs U.S. Dollar 16th May 2005 Price:
Resistance: 1.8530 ... 1.8550 ... 1.8593 ... 1.8630
Support....: 1.8480 ... 1.8448 ... 1.8410 ... 1.8370
If further downside is to be seen we require a break below 1.8480
Further losses seen to 1.8480 which we see as a key support and one which does have a chance of holding. However, considering the weakness seen over the past week we would prefer to see some evidence of recovery before getting bullish. First resistance lies at 1.8530-35 and break there encourages higher towards 1.8550-60 and probably to 1.8590-00 but we see this capping if seen. Further resistance is at 1.8630.
Losses seen to 1.8480 and we note this as an important support. Thus to generate further losses we require break of 1.8476-80 and if seen would allow losses to extend towards 1.8448 at least and we supect the 1.8370-1.8410 area which should provide a low on the day if seen. Further support is then found at 1.8309-30.
Elliott Wave Comments:
13th May 2005
The loss of 1.8650 implies the triangle structure was incorrect and we need get a better feel for the actual wave structure. We do note there is a possible five-wave structure in the decline from 1.9215 and this would imply a probable low around 1.8480-00.
16th May 2005
We achieved the 1.8480 target but having closed towards these lows we do need to be a little careful over the next move. Should the 1.8476-80 level remain intact we feel a retracement to 1.8590-1.8630 should be seen at least which represents a 50% pullback of the move down from 1.8775. We will then consider the next development once we have seen trading on Monday.
(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."