Monthly: The long-term outlook is for higher levels with the pair posting a potential bullish reverse Head and Shoulders formation. A break of 127.50 (neckline) is needed to confirm the formation. There is scope for a deeper correction, in an AB=CD formation, towards 92.00. This time-frame offers a mixed picture.
Weekly: Holds within a corrective channel formation. Although we have seen a reaction higher from the channel base, a full AB=CD formation is located at 103.50. This is close to the 78.6% pullback level of 102.98 (from 98.70 to 118.69). Higher time-frames offer no DeMark exhaustion or correction counts.
Daily: We have seen a bearish Elliott Wave count (5-wave negative formation) completed close to the 261.8% extension of 104.50 (from 114.74-110.84)
Intraday (eight-hours) – The move to the upside has been mixed and volatile: Two formations to noted here:
A possible bullish reverse Head and Shoulders pattern with support located near 106.10. Plenty of scope for a move lower
An Ending Wedge formation. A break o trend lien support at 107.20 and the measured move to 105.65.
With bespoke resistance at 107.80, we look to sell into rallies
