Any intraday trader will tell you there has been some volatility in the markets as of late. I trade FX & I feel like I have seen it all past 2 weeks, slight whipsaws, screw trades (that’s why we have stops), technical step backs, geopolitical concerns.
If you look at things from a far, the big picture with the US dollar, you will notice strength since December.
In the next couple of days, I would like to see some consolidation before making a further move up north.
I identified some support levels & did a Fibonacci retracement from March 2009 highs to December 2009 lows.
- Fibonacci 38.2: 80.10 (past it 2/8, touched it at today’s bottom)
- Support: 81.00
- Fibonacci 50.0: 81.91
- Support: 82.70
It also looks like we are in a “C wave” in the Elliott Wave.
- Wave A: First leg up from beginning of December – end of December
- Wave B: Retrace from end of December – mid-January
- Wave C: Mid January to present