Price: 0.6712

Bias: It looks like we shall see an eventual move back to the 0.6809 area at least - possibly higher...

Daily Bullish:
We saw a decline no farther than 0.6537 and the current rally certainly looks as if we shall see a retest of the 0.6809 area at least. A break above 0.6730 and 0.6755 would trigger this test. Take care at 0.6805-09 as this may well cause a pullback. Thus only look for a stronger move higher if this resistance breaks and if so then the move should extend further to 0.6902 and possibly 0.6951-88.

MT Bullish:
16th January: Only above 0.6820 would provide a deeper pullback to 0.6950-80 at least and possibly 0.7024-36.

Daily Bearish:
For the moment the direction is higher and this should see the 0.6805-09 area at a minimum. I do feel this will cause a correction that could move down as far as 0.6720 but beyond will need to be confirmed. Thus only look for the down side to resume if the 0.6700-10 area breaks. If seen then it should imply losses down to the 0.6623-57 at least. next support is then found at 0.6535-60 and 0.6484.

MT Bearish:
16th January: Best wait for break below 0.6700 to suggest any stronger losses.


16th January:

The bounce from 0.6537 implies a rally back to 0.6809 in an expanded flat at a minimum. The only problem I have with this scenario is that the minor Wave iii we may be seeing right now has a 138.2% projection at 0.6805 and this doesn't really give any room for a Wave iv and Wave v to remain close to 0.6809. However, for now use this as the signal for a change in the wave count.

It is possible that the 0.6537 low was actually the low in Wave (a) and thus we should note the 50% retracement in Wave (b) at 0.6902. The 61.8%-66.7% retracement lies at 0.6988 & 0.7024.

Just in case the broad 0.6809 area caps in an expanded flat then the next move should be lower back to the 0.6537 low and after a pullback lower in Wave v. We shall judge this if it occurs.