Analysis for October 28th, 2013
Euro left its consolidation channel upwards. We think, today the price may continue growing up to reach the level of 1.3874, which is a local target of this ascending impulse. Later, in our opinion, the pair may fall down to test the level of 1.3700 from above, form another ascending structure towards the level of 1.3880, and then start a more serious correction.
Pound is still consolidating; the market has formed the right part of diamond
pattern. We think, today the price may break the pattern upwards and continue growing up. In this case, this ascending structure will be considered as the central part of another pattern from the daily chart. The target of this central part is at the level of 1.6475.
Franc is still forming a descending structure with the target at 0.8880. We should note that the market moved below the level of 0.9024 by forming a continuation pattern and is not expected to reach its local target before completing this descending structure. The pair may form correctional structures, but they are expected to be short ones and considered to be continuation structures. We think, today the price may continue falling down towards the above-mentioned target, return to the level of 0.9024, and then form another structure to reach a new minimum.
The USD/JPY currency pair is consolidating again and trying to form divergent triangle
pattern. We think, today the price may fall down to reach the target at 96.25. However, even the fact, that the market is expanding this consolidation channel upwards, doesn’t change the main scenario and the price may continue forming the fifth wave of another descending structure.
Australian Dollar is still moving downwards. We think, today the price may continue falling down and complete the first wave of the descending correction. The target is at 0.9500. Later, in our opinion, the pair may return to the level of 0.9620 and then continue falling down towards the target at 0.9230.
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Gold is trying to continue pushing the price upwards, but hasn’t been able to form a continuation pattern so far. That’s why the main scenario implies that the price may continue forming the fifth wave with the target at the level of 1195. We think, today the price may form a descending impulse, consolidate for a while, and then form a reversal pattern to continue falling down.
RoboForex Analytical Department