Simple Moving Average(SMA) 50-period (red), 200-period (bold, gray)
RSI-14 with Simple Moving Average 5-period of RSI attached.
Elliott Wave Principles
Market and Price Action (patterns, candlesticks)
Intraday pivots and Intermediate-term support and resistance
Multiple Time-frame Analysis
- After breaking above 1.63, the cable was in a throwback.
- This decline came near 38.2% retracement level of the rally from the 1.6030 low before bouncing back to 1.63.
- The 1H chart shows the RSI remaining above 40, after tagging 70, which is a bullish signal especially now that the RSI is back above 60. A rally above 70 in the 1H RSI should confirm a break above the 1.6325 high.
- The 4H chart has already shown the market retaining the bullish momentum when the RSI tagged 70 on the 18th and failed to sustain a break below 40 since.
- The daily chart however shows no real bullish momentum yet in the longer intermediate term. We do see that if the market continues rallying, a swing projection brings us close to the 1.69/1.70 area.
- We also see resistance at the 1.6450-1.65 area, 78.6% retracement level and a previous pivot. This is like the final resistance before 1.69-1.70 area.
- A break back below 1.60 should start the consideration of a decline to 1.58, 1.5750.
Will the cable march on to 1.70? We would love to hear what you think.
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