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After Expected Deep Dollar Pullback – We Should Now See Gains

Published 12/12/2018, 11:17 PM
Updated 07/09/2023, 06:31 AM

Over the range of the pairs I use, we actually had quite a range of developments. EUR/USD did see a deep pullback. I’d like to think that we have found its high. That USD/JPY took the day off to form a limited expanded flat was one of my alternatives. GBP/USD actually saw a much deeper pullback from the 1.2477 low – but it’s still valid. From there we should need a 3-wave decline being in a Wave [v].

The Swissie needed an adjustment once we reached the 0.9977 high and was followed by a pullback at 0.9916. Will it hold or could it just see direct gains? Even if we get a minor new low, it should still point higher.

Overall, I get the impression that we’re going to see some swings over the day – particularly with GBP/USD, looking for a Wave [a]/[v] and likely a modestly deep pullback in Wave [b]/[v] before moving lower. Therefore, it tends to suggest some shorter-term profits today – rather than a massive trend. Thus, could allow AUD/USD to see a mildly deep pullback higher, but I doubt any firm strength.

I’m still struggling in EUR/JPY. I want to call a final cap, but with USD/JPY pushing higher and EUR/USD lower, it doesn’t suggest a trend here as well…

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