Comment by nutz on January 24, 2013 at 1:03am

Well done Jet!...observations made in this analysis are the very same i am seeing...as you know i am deeply interested in EW.   The 10yr/s&p opposites correlation also the U/chf.......eu/usd break from opposite correlation is an early warning some change is in the air.  If anyone is missing this the weekly seems to be the key here ....as it is the eu chart that shows this as long term correction.  An elliot wave guideline i am paying attention to here is that we often find wave C of the three wave correction is often near equal in length to the A wave.  This is not saying it could not dive b4 but it does place an absolute top of eu/usd correction up @ 13900 area.   Due to a favorable interest swap rate i have begun to take several small u/chf longs ...and would buy more on any dips.  If eu should rise further up  I will consider longs intra day..  The divergence can last a long time before the fall, however as you noted it is yet another signal.  Glad you got this posted in the fx street newsletter and i caught it .....thank you good sir.....and dang i miss talking to ya in chat when i am there.....wishing the very best to you and your family !     Your old chat friend Nutz=>) 

Comment by JT on January 24, 2013 at 5:04am

Yes I would completely agree on the possibility of eu having more upside potential but considering the longer tf effect I'm just taking a small position trade on it for now - good to hear from you again hope everything is going well for you

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