DOW30 no surprise News today tries to explain the sell off today as fears for new rate hike. If you look at PA it is no surprise and all is expected, we have a lower TL with many touches that you bring up to highs.. look how midline fits. So we have an OVERSHOOT, which will expect a BREAK out of TL to upside. within the uptrend we have the close outside and new high; so - yes, we still expect a new LOW on the D chart. The chart is right, the news is secondary ;)
Overshoot
EURCHF Short: Ending Diagonal & Wolfe Wave Reversal to PivotsEURCHF has completed a possible ending diagonal and has made a reversal in a confluent PRZ. Wolfe Wave theory defines the sweet zone, or the area of a probable reversal, as the area between 1-3 and the 2-4 parallel extension from point 3. Similarly, EW theory suggests that wave 5 will often overshoot in an ending diagonal which may be followed by a swift and powerful reversal. This area also coincides with 1.272AB=BC, the 2.5 projection of wave 2, and 707AB. To add to bearish bias, there is also a missed weekly pivot, missed daily pivot, unhit weekly pivot, and an unhit monthly pivot below current levels, all of which could drag down price. Profit is typically taken at the 1-4 target line or at any of the unhit pivots.
If price should extend past the September, 2015 pivot I will start looking for long opportunities in the bullish shark PRZ.
AUDUSD Bullish short term, Before turning back down to the lows AUDUSD has created a well defined Inverted Head & Shoulder pattern, looking for target at 0.7750
A longer term bearish channel with an overshoot at the lows supported this view to break the bear channel at the highs before trying to visit the low of the channel again
