FOREX PRO Weekly, December 06-10, 2010

[Sive Morten]

EUR/USD Daily Update, Fri 10, December 2010

Hello everybody,
Currently is one of these days, when market shows nothing really interesting -no thrusts, impulse moves, no particular patterns to trade.
But I would like to discuss with you couple of moments still.
First, the fact that market has not be able to show continuation of up move, after it thouched Agreement at 1.3180-1.3200 area makes me think that currently downmove is more probable. Besides - look at recent sell-offs. Retracement up was sloppy, and sell-off was straight. It worries me in term of talking about bull trend.
Now market is forming falling wedge pattern, also you can see a bullish divergence. But, I'm not very impressed with these, well-known bullish signs.

I will be flat today, but you you still would like to trade - watch for wedge breakout - if it will be to the downside - next target is 1.3085 area of support

If it will be to the upside - be aware of 1.33 area because this is 100% expansion target. Market can just accomplish it and returns back in the wedge. So, for talking about real breakout to the upside - market should move above 1.33

 

[MidnightRun]

Timefeames?

Sive,
Thank you for your analysis. Just to make sure I put it in the proper perspective - the 1 chart is daily, the 2nd - hourly?

Thank you

 

[Sive Morten]

Sive,
Thank you for your analysis. Just to make sure I put it in the proper perspective - the 1 chart is daily, the 2nd - hourly?

Thank you

Sorry, I didn't point that.
the first chart is 4-hour, the second is hourly.

 

[MidnightRun]

Sorry, I didn't point that.
the first chart is 4-hour, the second is hourly.

Thank you Sive.

 

[ochills]

Thanks for Your GREAT ANALYSIS

Hi Sive,
Thanks so much and thanks to FPA Staffs and members that has made this possible. I am a new bee to Dinapoli book and gartely.
Sive pls I have Some questions and it will be appreciated IF U put light on it.
1. what do u mean by confluence resistance and how do U determine it?
2. you often talk abt 5/8 fibo support how do U obtain this.
3 In today Video your first Chart I guess is 4Hour chart follow by 1hour on the two chart you identify a falling wedge but to me I also see W a bearish butterfly or bat. from B 1.3428.
though I may be wrong pls throw light on this questions
Thanks a millions.

 

[Sive Morten]

Hi Sive,
Thanks so much and thanks to FPA Staffs and members that has made this possible. I am a new bee to Dinapoli book and gartely.
Sive pls I have Some questions and it will be appreciated IF U put light on it.
1. what do u mean by confluence resistance and how do U determine it?
2. you often talk abt 5/8 fibo support how do U obtain this.
3 In today Video your first Chart I guess is 4Hour chart follow by 1hour on the two chart you identify a falling wedge but to me I also see W a bearish butterfly or bat. from B 1.3428.
though I may be wrong pls throw light on this questions
Thanks a millions.

Hi Ochills
1. Confluence support or resistance is a combination in relatively tight range two different Fib resistance/support from different reaction points. Confluence can be made only by 0.382 and 0.618 Fib levels. This could be no Confluence if it made by 0.382 and 0.382 or 0.618 and 0.618.
Just look at the chart and brackets that point from which reaction point current Fib levels built.
2.5/8 is a 0.618 Fib level, 3/8 is 0.382.
3. I do not see any batterflies there. The initial swing of butterfly should hold the price action after it. In current situation market makes lower lows, so it can't be butterfly.
If you treat as a butterfly whole swing up, well, it this case the first retracement to the downside was just 0.382. It's not sufficient to be a butterfly. It should be at least 0.618.

 

[Ikehsunday]

hi

hello girl!
how you doing?
it feels good to see niger chick
rocking fx big time.
well. we need more sisters here .
i hope u think so.