Thursday, 11 November 2010

12:09 GMT - Dollar Update

If we're in a developing impulse wave up from the low at 75.631, as I labelled the 15 min chart in my last post on the dollar (see here), then if this updated labelling is right, I'd expect to see a big move up in the dollar pretty soon:

Dollar 15 min:

If that doesn't happen then I'll begin to doubt the labelling, although the count for a potential impulse may still stand, provided we don't take out the low at 75.631, of course.

As I said in my last post on the dollar, while we're below 78.273, the risk to the downside is greater. Breaking above that level is vital for the bullish case (though it doesn't preclude bearish counts and more downside, as to which, see the dollar page).

Here's the 95 min chart:

Dollar 95 min:

As you can see, we're at the top of the resistance area  (delineated by the red lines on the above chart) shown on the daily chart in my last post. An impulsive and significant break above this area would certainly inspire confidence in the bullish case, provided it then becomes support. Failure to break above it would not look good for the bullish case.