FCPO: Hourly EW Count - Sep 5th 2018

2018年9月5日

Yesterday, FCPO has effortlessly bypassed the 2260 & 2265 key levels as well as the confluence area (2265 – 2278) through a 15-tick gap up. Market then edged up steadily throughout the day towards the psychological level @ 2300.

Hourly EW Count

Structure wise, the strong momentum from 2214 to 2301 is a clear manifestation of wave 3. We should see some retracement of wave 4 after touching the 2300 price level before it struggles to move back up again as a wave 5 (it can be in the form of compression or a complete truncation). Wave (4) is expected to terminate around 2300 – 2310 with extreme high is governed by the upper channel line.

Highlights

It is worth to note that FCPO has now reached the extreme high area of wave (4). The following are the things that we should be aware of.

1. EW invalidation level (daily/weekly) @ 2324
2. Weekly chart clearly shows that market is moving in a corrective fashion (within deceleration channel) and has now touched the base channel.
3. Confluence area between 2300 – 2308
5. Dynamic EW upper channel line (today’s highest point on hourly chart would be 2320)

This is the last bastion for the downtrend. If market is able to bulldoze this extreme area and strongly violate EW invalidation level @ 2324, a recount will be required.

We will see what market offers us today. #analysis #05Sep18