GBP/USD Should See Losses

Published 01/15/2019, 10:57 PM
Updated 07/09/2023, 06:31 AM

For the most part, I was satisfied with the gains in the dollar. The GBP/USD completed a 5-wave decline. It was always going to see a pullback and it was quite a rush back higher. Clearly, the fumbling of what is happening in the UK is rather an embarrassment. However, it should see losses.

The EUR/USD and USD/CHF seem to have the same type of development – a follow-through on the dollar upside and I’d suspect it may end into the North American session. This should see a (blue) Wave -a-/-iii- in USD/CHF and a (brown) Wave -a-/-iii- in EUR/USD. They will need a pullback.

USD/JPY is a bit tricky as we may have alternatives – either an expanded flat or a break higher.

The Aussie has yet to find its high but it finally looks like managing that, so watch for the reversal lower.

The slow and very steady EUR/JPY has now found a Wave -a- and therefore we’ll need a pullback higher.

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