Bitcoin huge move down to look forIf you do not know how wave theory works this example probably becomes a route for you to start learning a bit more about structural trading. Bitcoin is at the point where it is going to turn around and make a bigger correction. On the 4 hour chart, it made a small impulse down which could give you an earlier selling opportunity.
All charts work with impulses and corrections
All charts have structures inside structures like a russian matryoshka. And they always look the same.
Fractologybiz
Long then short for GBPUSDAfter making a downside impulse the pair is correcting. First, we are going to look for one more move up to finish the last leg of the correction. After the pair goes beyond 1.3350 we will look for trades down as per our strategy.
Generally we anticipate a huge move down that might test 1.25 area. Possibly it could happen this year.
All eyes on the "loonie" (USDCAD)Earlier Fractology published its bullish view on USDCAD. We were wrong to expect an upside move that soon. As of now, Fractology does not change its bullish analysis and we keep on looking for buying opportunities.
On the chart above there is a chance of forming an expanding ending diagonal which has no other choice but to resolve up.
Secondly, any chart rejects the possibility of a price moving in a straight line without a decent correction. Therefore the lower the pair comes the higher we expect a retracement.
Fractology recommends having a look at NZDCAD which has a similar setup and might surge up this week.
Expect a turn on GBPJPYThe pair might soon experience an abrupt change to the downside.
Firstly the whole move tho the upside did not have much of a correction which would be commensurable in time and price.
Secondly, the pair is potentially positioned in wave B. This causes us to think that there will be a C wave down.
Thirdly, GBPJPY is forming a pattern which Fractology identifies as a reversal pattern.
Fractology would advise waiting for a move before taking any trades. After that happens we will find a place to sell within a corrective pattern.
Buy some USDCADSince our last analysis on USDCAD ( ) we have been selling this pair for a couple of weeks.
However, it is high time for the whole move down to be corrected up.
The pair is heavily oversold and any new low might be the last. It is reasonable to look for buying opportunities under these circumstances.
Therefore whenever the price breaks the trendline and corrects itself, start looking for bullish moves.
If the price makes new low Fractology will not change its analysis and keep on looking for upward impulses to go bullish.
EURNZD might shoot upThe pair is forming a termination pattern which could mean a major correction of a downtrend or a complete reversal.
The downtrend becomes exhausted and the price is less volatile. Therefore price behaviour is featured by small up and down moves, which finally resolve up.
However, it is reasonable to wait for a breakout from the current pattern and a small correction for a better risk-to-reward ratio.
Some weeks Fractology has made a similar forecast on GBPUSD www.fractology.biz and the prediction worked fantastically.
NZDCAD to come downThe chances are very high the pair will come down in the nex few sessions. The impulse-correction relationship is very obvious on the chart. This brings us to a conclusion that there is going to be at least one more down move back to the trendline.
However trading this pair might require experience and skills. This night the RBNZ (the Bank of New Zealand) decides its interest rate. Therefore all kiwi moves might be very rough.
Fractology recommends trading this pair when there is a clear breakout. As soon as the pair reaches the trendline, it will be safe to put your trade to breakeven and watch if it goes down to the daily trendline.
CADCHF is about to reverse downCADCHF is completing a pattern which brings us to a conclusion that the pair will come down. There is a chance the pair will make one more high before turning the direction.
The outcomes of the move might be significant. It might come down as low as of early June 2017. Otherwise, the pair will make three legs of correction and go up for another impulse.
Fractology recommends waiting until the breaks out of the pattern and correct. Only after breakout do the opportunities for short trades appear.
BIG BUY for USDJPYFollowing our post on USDJPY long-term analysis - www.fractology.biz Fractology would like to deliver another piece of forecast with very high chances of occurring.
Our first-in-series analysis has its aim to describe the first impulse in the structure. At the moment price shows signs that it might start the second impulse and complete the structure.
As usually Fractology recommends waiting until price violates the trendline of the pattern, retrace and create buying opportunities.
EURGBP is about to reverse downWeeks ago We published our bullish view on EURGBP. (Check the link - www.fractology.biz )
Since then the pair has risen up more than 5 percent. It was a spectacular chance to increase your trading account.
At the moment We have revised the analysis and expect a complete reversal.
This should become possible within an enormous daily zigzag move which represented a correction since an impulse down in October and November 2016.
However, Fractology advises waiting for the price to violate the trendline down and correct itself to make that move possible.
EURJPY and CHFJPY to head down moreFractology would like to advise a short-term selling opportunity for two pairs which are forming similar setups. These are EUR/JPY and CHF/JPY.
The charts on both pairs are in a corrective phase which is not finished. Therefore it would be beneficial to sell the breakout of the current small corrective flag.
If that happens tt would practically mean the continuation of wave C down in ABC flat move.
US DOLLAR INDEX might soon surge upThe chances are very high US DOLLAR INDEX surges up soon. There might be several reasons for that:
1. Price is oversold. It came down fast without any correction.
2. On an hourly chart, the price is forming a pattern which usually features a correction or a complete reversal.
3. Our analysis of major US dollar peers indicates they are losing their ground and might weaken. (See our analysis of GBPUSD, USDCAD, EURUSD)
Fractology recommends covering short positions for US dollar and looking for buying opportunities.
EURUSD selling opportunityEURUSD has been under a lot of buying pressure for the last two weeks. Fortunately, markets do not move in straight lines. Markets give us a chance to enter short positions when a price is heavily overbought.
I assume such overbought conditions are clearly visible on EURUSD chart.
In terms of wave theory, it is highly likely the price will go down if it violates the pattern line.
it would be reasonable to wait for that break and then sell after a period of a small correction.
CAD might weaken against USDFractology is expecting a further weakening of the CAD against USD.
Last week the pair completed a first leg of the pattern. Therefore we should expect the pair to go up after a period of small correction.
If there is a bounce up from a trendline it should be safe to look for bullish opportunities.
EURAUD sell setupEURAUD might soon experience a great selling pressure. This should become possible due to several reasons:
1. The pair has climbed up very high without a major correction. This is especially visible on a daily or 4 hour chart.
2. EURAUD is forming a corrective pattern after a minor impulse on an hourly chart. This might indicate that the pair will go down.
3. If price breaks below the trendline, this might cause a major correction down.
AUDUSD selling opportunityAUDUSD is struggling to go up and shows some signs of weakness compared to the previous downside impulse(see the arrow).
Apart from that, my USDOLLAR index analysis tells me that the chances of an upside correction are very high. Therefore you should look at dollar pairs as a chance for USD to strengthen.
AS for AUDUSD, If price violates the trendline of the pattern wait for a correction and sell.