Update for: 2012-09-03 - 2012-09-09
Posted on: Saturday, 01 September 2012 19:06
Short-Term Trend: weak downtrend
A week ago I favored a short position based on the wave structure presented on the chart above. This wave count (that suggests an Ending Diagonal pattern in wave C) is still valid but the chance of it being correct is now quite low. With the last week's move it seems more and more likely that EUR has already found a significant bottom and a new uptrend is under way. But to confirm the trend change, we need a move abv 1.2670/90 area. Until that happens, there is still a chance for the bears to push the prices lower twd the 1.2145 level.
With all that in mind, one can favor the short side but only as long as the prices stay below the indicated resistance levels. A move abv there will turn the daily chart bullish.
Strategy: Holding short from 1.2550 is favored against 1.2700. Target=1.2100. Longs favored on break abv 1.2700 with 200 pts stop.
Next Update: Sun, 09/09/2012.
Legal disclaimer and risk disclosure
The services provided by Trend Recognition Ltd are intended for informational and educational purposes only. While a course of conduct regarding investments can be formulated from the presented analysis, at no time will Trend Recognition make specific recommendations for any specific person, and at no time may a reader, caller or viewer be justified in inferring that any such advice is intended. The service is not a recommendation to buy or sell securities or an offer to buy or sell securities. The publishers of Trend Recognition website are not brokers or registered investment advisors and are not acting in any way to influence the purchase or sale of any security and/or its derivatives. The data for information provided by this website is obtained from sources deemed reliable but is not guaranteed as to accuracy, or completeness. The use of Trend Recognition services is done so at your own risk. Trading and investing in any financial markets, including, but not limited to the stock market, options market, futures market, bond market, and/or the commodities market involves serious risk of loss, and in some cases, greater loss than the amount invested. You should not rely solely on the information provided on this site in trading. Use of this site is your agreement to assume full responsibility for any losses, and your acknowledgment that we do not guarantee any results or information provided in this site and that you acknowledge that you are forming an independent opinion based upon your own research and resources, and not on the information contained herein. Trend Recognition recommends that you do your own due diligence and research when considering placing any kind of transaction.
It is possible at this or subsequent date, the publishers of Trend Recognition may own, buy or sell the securities discussed therein or their derivatives. Trend Recognition or its publishers are not liable for any losses or damages, monetary or otherwise, that result from trading the securities and/or derivatives discussed within the Trend Recognition website. The publishers of the Trend Recognition recommend that anyone trading securities and/or derivatives should do so with caution and consult with an experienced broker and/or investment advisor before doing so. Past performance of Trend Recognition may not be indicative of future performance and does not guarantee future results.
Read the full Disclaimer.