The long term count is tracking well. The line drawn off of the June 2006 and August 2007 lows has been broken, which supports the bearish count and our call for price to eventually fall below .5927. The next level of potential support is the long term trendline, drawn off of the September 2001 and June 2006 lows, near .71 over the next few weeks.
As of now, price should remain below .7467 but there is no change to the longer term bearish bias as long as price is below .7761. Objectives are at .6990 and .6823. Reinforcing the bearish bias is today’s break below the trendline that had held since June 2006.
To contact Jamie regarding this or other articles he has authored, please email him at jsaettele@fxcm.com
DailyFX provides forex news and technical analysis on the trends that influence the global currency markets.
Learn forex trading with a free practice account and trading charts from FXCM.
