Disclaimer

Disclaimer: This blog should be read as a 'whiteboard' of my daily thoughts and ramblings and specifically not, in any way, advice to trade. My interpretation of the works of Gann, Goodman, Fibonacci, Elliott, Hurst et al; is entirely my own and should be read as such. Any opinions, news, research, analyses, prices, or other information contained in this report are provided as general market commentary, and does not constitute investment advice. I will not accept liability for any loss or damage, including without limitation to, any loss of profit, which may arise directly or indirectly from use of or reliance on such information.

Thursday 28 February 2013

EURUSD: Speedline study

I am sure I am not alone in asking the question "what the hell is going on". Different indicators give different accents on the problem but which one is right? Of course, all and none: the market decides and we just try and capture the momentum. Ever since I happened across the 85.4% speed line (or Fibonacci fan line)whilst messing around, I have been drawing grids around them to capture the action and reactions. They are somewhat more predictive than Pitchforks because they do not need the 'b' wave to join together the axis, but I am biased. Here is an extract from the last 'C' wave of the corrective 'B' wave triangle using the grid down from major 'a' of 'D'. Now, wave 'E' in play we assume, with the first lighter blue channel calc'd off minor 'a' of major 'a'. The green channel is calc'd off the major 'a' in proportion to 'a' of leg 'C-D'. It seems to me that 'E' is not complete for the simple reason it is not in proportion to 'C-D' and appears to have no blow off 'trap the bulls' thrust thus far. Maybe I ask too much, but the green channel maybe just the job to keep bullish momentum pulling at this market with the combination of minor 'a' and major 'a' creating an ending diagonal to warrant the big 'B' leg being done justice. A drop down target still keeps the green channel in play too. Just musing the bigger picture. The Pyrapoint calcs here are off the 'C' top and match the Gann squaring off the 1.2041 'D' low. If that 1.3160 line goes to the upside - boom, me thinks!!

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