This pair had a 300-pip rally yesterday on the 1H when most euro pairs rallied after the Greek election results were known and speculation that the victorious Syriza party would not force an exit from the Eurozone gained ground. It reversed when it ran into strong structure resistance at 178.93. After a pullback its now approaching that same resistance level, but...
Added the minor Elliot ABC retraction wave before uptrend continues with new Elliot Wave
Also spotted a nice divergence and a classic M Market structure.
Just need to get my volume profiles up and running so I can look at the Rejection area's for plotting the waves.
Bearish Divergence formed at the outer Bollinger Band extreme. Divergence shown on RSI, Mac-d signal lines, and histogram. Today put in the first lower high on the histogram along with price creating a reversal candle on above average volume. Looking for a drop back to light support level.
I was just checking this weekly graph of the Dollar Index and I just saw a divergence on RSI and price action. As we can see, the US Dollar is making a new high this week BUT the RSI is now. Actually, the RSI made his high few weeks ago.
This is a signal that the current trend is getting into the final steps of the current trend, this does not mean that he will...
Similar to AUD/CAD, AUD/CHF is setting up for a short opportunity with the following in view:
- inside bar following high test bar in pull back to 50ema
- price rejection at resistance at ~0.8210
- price retraced to 0.618 Fibonacci level which coordinates well within proximity of resistance at ~0.8210
- Stochastic and RSI in overbought territory
- Stochastic and...
Confluence of factors for short set up:
- resistance at ~0.9590 (also weekly resistance)
- inside bar formation in pull back below resistance
- 0.786 Fibonacci retracement/rejection
- hidden divergence (bearish trend continuation)
entry - below low of inside bar
stop loss - above mother bar
target - previous swing low or 1.272 Fibonacci extension
High Probability trade of the day
Long EUR/JPY @ 141.40
Target 142.50
Stop Loss: 140.90
Notes:
Bullish divergence observed on the 15 min chart
Possible inverse Head and Shoulders Formation
Price broke above the cloud (Bullish in 15 min)
1. Divergence to RSI formed and at the top price made a bearish inside bar and dropped.
2. Price broke through the short term trend line as well
3. Arrows denote the Highs and Lows within the previous up leg
4. Corrective rally to test the break out of the trend line, which should form a lower high (confirming the medium term down trend).
5. Sell to divergence...
Price is right now at demand and the RSI is building a nice divergence, meaning the bearish pressure is getting weaker and weaker, actually if we look at the last major swing low (which was the reaction from the supply level, price is struggling to get lower, so I expect a good reaction from this demand level.
Stop a few pips below the demand zone and target can...
Friday brought the first higher low reading on the mac-d histogram signaling entry for JCP long. This came off of noticeable momentum divergence from both the histogram and the signal lines. Also, RSI showing some divergence. There was above average volume on Friday leading me to believe that the buying brought on will be able to be sustained as we shoot for the...
Currently watching the 1H timeframe, as price have touched once more an important demand zone (0.9593 - 0.9620), and I was waiting for a confirmation that price might have a good bounce from this zone again. We have bullish divergence on the RSI as price touches the zone.
Price already touched the zone and booked 26 pips, but I did not take it, I am waiting for a...
Dark cloud candlestick pattern occurring at the extreme of the Bollinger Bands with momentum divergence showing on both the mac-d histogram and RSI. Looking for price to retrace to the 50 ema or lower Bollinger Band, whichever occurs first.
After today's session, GBPUSD advanced rapidly and it is only few pips away from the open. This indicated plenty buying in the market. I would expect this pair to advance further and form consolidation pattern.
Long term downtrend must be assumed and short positions would be recommended from higher levels.
Double top forming in H4 timeframe (H4 again? sick...).
The second top even has double bearish pin bars.
These tops forming at resistance zone from daily chart.
Lastly, RSI is showing bearish divergence.
All these H4 opportunities are tearing me apart internally as the little 'i's within me are having tug of war. Keeping to my vow to not trade H4.
The last AB drop could repeat as a CD leg towards last structure lows at 1.204-1.207.
We could see a turn around there because of multiple divergences on the RSI and other indicators.
But for now short is the better side on the market.
1. Obvious divergence present (momentum/price)
2. Sideways movement
3. missed daily and weekly pivots below the current level
Go short on break of horizontal resistance at 9895
Target: 9690 (38.2 Fib retracement, half a way to the missed weekly pivot)
SL: 10050 - above the recent high
In line with the down trend on the D, H4 and H1, GBPUSD showing signs of good support backed up with a divergence indicator on the MACD. Long position with a TP between the 1.56600/700 and SL1.56258
