Mostly a dollar rally

Ian Copsey Harmonic Elliott Wave

When I suggested a Dollar rally, it tends to refer to EURUSD, GBPUSD (but with care) and USDCHF. The other majors – USDJPY and AUDUSD appear to be exactly the opposite. That EURUSD has 5 points above Friday’s 1.1612 high, I cannot see any move higher. That GBPUSD has a 40-point gap to the 1.3258 high I can’t rule out a break above 1.3183 but I’d much prefer a more bearish outlook. That will need some care as the Asian session develops.

USDCHF – if I have my structure is correct, yesterday’s 0.9847 low was a pretty deep pullback. It has only 15 points on the downside to break the structure. If that break level is broken then I shall have to work through the rally from the 0.9542 low. However, I suspect it will be a limited pullback.

USDJPY needs some losses before a reversal back higher…

The Aussie has been moving in a drunken development with pretty difficult swings to navigate but as far as I can see it should be a bullish day.

As for EURJPY, it has been a rather rough sideways move and I suspect a rally and then a reversal to a new low.

Author

Ian Copsey

Harmonic Elliott Wave

Ian Copsey has been around in financial market for over 30 years, the last 23 years as a technical analyst. He focuses heavily on price development and structure as "it is the only way to generate accurate support and resistance".

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