1) On small time-frames one can clearly see the terminus of the wave that can be the ending point of the whole correction and the beginning of a new stage of the US dollar’s weakening (refer to Figures 3, 6, 8, 11). But this supposition requires its confirmation. That’s why projections of the expected price movement on the charts 1, 2, 4, 5, 7, 9, 10 are of suppositional nature.
2) Yesterday the article Probable Beginning of the Canadian Dollar’s Strengthening (USD/CAD) was released, where a possible scenario of the Canadian dollar’s price movement synchronous with the other dollar pairs is considered.
1. EUR/USDFor survey wave counting of EUR refer to Annual-08 and Monthly-0808 and The Review of the Bigger Time-Frames(2-nd half of 2008). Refer to Figure 1 for the wave counting draft of this currency on the daily chart.
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Figure 1. Wave counting on the daily chart. Variant 3-a.
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Supposedly the development of corrective wave 4 in the form of an expanding triangle the ending wave [e] of 4 has assumed the shape of a zigzag is completed. After the confirmation of the completion of correction 4 it is natural to expect the continuation of the global uptrend.
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Figure 2. Wave counting on 480 min chart. Variant 3-a.
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Supposedly the ending waves of the second leg (c) of zigzag [e] of 4 are developed. In the Figure below it is clearly seen how the guideline of alternation for zigzags (refer to page 140 of my book) is observed.
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Figure 3. Wave counting on 120 min chart. Variant 3-a.
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As downward impulse (c) of [e] is completed with the main waves it supposes its completion in the near future if wave v of (c) of [e] doesn’t decide to develop an extension.
2. GBP/USDFor survey wave counting of GBP refer to Annual-08 and Monthly-0808 and The Review of the Bigger Time-Frames(2-nd half of 2008). Refer to Figure 4 for the wave counting draft of this currency on the daily chart.
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Figure 4. Wave counting on the daily chart. Variant 3.
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Supposedly the development of large zigzag 2, wave of 2 of which has assumed the shape of a truncated triangle, is completed. In the Figure below it is clearly seen how the guideline of alternation for zigzags (refer to page 140 of my book) is observed. After the confirmation of the completion of correction 2 it is natural to expect the continuation of the uptrend.
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Figure 5. Wave counting on 480 min chart. Variant 3.
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Supposedly the ending waves of the second leg [c] of zigzag 2 are formed.
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Figure 6. Wave counting on 120 min chart. Variant 3.
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As downward impulse [c] is completed with the main waves it supposes its completion in the near future if wave v of (v) of [c] doesn’t decide to develop an extension.
3. USD/JPYFor survey wave counting of JPY refer to Annual-08 and Monthly-0808 and The Review of the Bigger Time-Frames(2-nd half of 2008). Refer to Figure 7 for the wave counting draft of this currency on 720 min chart.
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Figure 7. Wave counting on 720 min chart. Variant 3-dt.
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Supposedly the development of upward triple zigzag (W)-(X)-(Y)-(XX)-(Z) of [2], the ending wave (Z) of [2] of which has assumed the shape of a zigzag is completed. After the confirmation of the completion of correction [2] it is natural to expect the continuation of the downtrend.
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Figure 8. Wave counting on 120 min chart. Variant 3-dt.
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As upward impulse C of (Z) is completed with the main waves it supposes its completion in the near future if wave [v] of C of (Z) doesn’t decide to develop an extension.
4. USD/CHFFor survey wave counting of CHF refer to Annual-08 and Monthly-0808 and The Review of the Bigger Time-Frames(2-nd half of 2008). Refer to Figure 9 for the wave counting draft of this currency on the daily chart.
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Figure 9. Wave counting on the daily chart. Variant 3-a.
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Supposedly the development of corrective wave 4 in the form of a double zigzag the ending wave [y] of 4 of which has assumed the shape of a zigzag is completed. After the confirmation of the completion of correction 4 it is natural to expect the continuation of the global downtrend.
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Figure 10. Wave counting on 480 min chart. Variant 3-a.
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Supposedly the ending waves of the second leg (c) of zigzag [y] of 4 are developed. In the Figure below one can see clearly how the guideline of alternation for zigzags (refer to page 140 of my book) is observed.
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Figure 11. Wave counting on 120 min chart. Variant 3-a.
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As upward impulse (c) of [y] is completed with the main waves it supposes its ending in the near future if wave v of (c) of [y] doesn’t decide to develop an extension.
Note
Given possible trading plans are purely informational purpose only and they should not be considered as trading guides or an invitation to make a transaction.
Reference
Probable Beginning of the Canadian Dollar's Strengthening (USD/CAD) August 18, 2008 When using any part of the article for publication or analytical materials reference to the author and Alpari is obligatory.
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