Wednesday 29 May 2013

EURUSD, Head & Shoulder

Hi Traders,

The Head & Shoulder is a reliable reversal pattern. If you master the Elliott Waves you can identify the right entry points and targets to enhance the profitability of your trading in such a market condition.

SITUATION

With the violation of this major support at 1.2886 the EURUSD - which now staged a H&S in the daily chart - will start the last major wave downward which might bring it to 1.19 and, under extreme conditions, to 1.12, target that I wouldn't dismiss at all.

If this analysis is correct, the resistance around the area 1.2899-1.2911 (or  maybe 1.2928-1.2935) should be a viable entry point for a juicy short, lasting weeks.  

TARGETS 

daily chart
DOWN

likely: area 1.2752-1.2744
possible:  the area 1.2658-1.2688

weekly chart
DOWN

likely: the area 1.2457-1.2520
possible: 1.2328

Note the cycles in the weekly chart below. Also, check the targets (blue horizontal lines).


weekly chart - click to enlarge



See the Head & Shoulder in the daily chart below



daily chart - click to enlarge





4-hour chart - click to enlarge





1-hour chart - click to enlarge



No comments:

Post a Comment

Hi Traders. Tell me if you agree or (politely) disagree.

Note: only a member of this blog may post a comment.