Saturday, August 23, 2008

8-24 UPDATED

EUR/USD- 4750 seems to be a strong level acting as support and resistance for the last couple of weeks. If it holds and rallies, then I would be looking to buy pull backs as the sentiment seems to have changed either from profit taking or dollar fundamentals.
LONG trade- possibly at the 4686 level which would indicate a BBB pattern forming.
SHORT trade- a bearish gartley would form at 4983 and aligns with the high on 8-13

GBP/USD- With this pair being very bearish I am cautious to take long trades but it does seem to be oversold on longer time frames. This is a good environment for a riptide trade below the yearly low and right near the figure of 8500.
LONG trade- possibly a butterfly pattern or riptide depending on timing.
SHORT trade- I do not look to go short at this point unless I have a rally going after some daily highs

USD/JPY- Another BBB pattern seems to have formed on yet another USD cross. We had a retracent to the 79% level on Friday at 110.13 so this also could set up for a false break or sell off and give an attempt to short the market
SHORT trade - 110.00 seems to be a very strong area. I will watch for weakness.

USD/CHF- Very similar to the USD/JPY in that we have a BBB look. Also had a rally to a key level on Friday. A move to 1.10-1.1005 would be a 79% move from the monthly high and a 127R from Thursdays intraday high of 1.0971. Again timing would be key to this trade
SHORT trade- 110.05 again depending on time of day

AUD/USD- This pair has, like the other USD pairs fallen so far that there should be some type of retracement. I am bullish this pair and will look for pull backs at key areas .