I wasn’t too happy with the additional Dollar losses on Friday but it didn’t last too long. Once we had completed that blip I got my own way. Still, these foundation waves are likely to be quite bulky so we’re going to have to be patient for the meantime. In these stages, there should be short-term opportunities for taking limited trades. I also suspect we’ll see the early stages after open will provide a pullback lower in the Dollar. It shouldn’t last too long (unless it turns into a complex correction) but once we have gotten through that stage we’ll be back on the Dollar bullish side.
In USD/JPY, I suddenly had an epiphany. There appears to have been a triangle in the final losses to 111.38 that then confirmed a triple three. This should then conform to the Dollar bullish outcome.
I had to work through the Aussie from the end of September due to the sudden rush higher. It appears that, instead of an impulsive wave, we are either seeing an expanded flat but I suspect that, more likely an irregular triangle. It could even be a descending triangle… I suspect that due to the expectation of Dollar gains.
As for the cross – EUR/JPY – I suspect a final rally before it finally reverses lower.