U/J: still looking poised for a bullish move.

October 23, 2014

The U/J is still trading within a potential bullish ‘inverse H&S’ on the 4hr charts.

U/J 4hr: bullish ‘inverse H&S’ still building. The ‘neck line’ of this 4hr pattern coincides with the top of the 4hr Ichimoku Cloud:

UJ4

U/J 4hr Cloud: the U/J is still making its way up through the resistance of the 4hr Cloud. Success here would mean that the U/J is back above the Cloud on the 4hr, daily, weekly and monthly charts which would be a bullish signal.

UJ4Cloud

USD index: the USD remains bullish as it has broken up and out from a Bull Flag pattern although it is still facing considerable resistance from the monthly triangle trend line:

USDXdaily

Summary:

  • continue to watch the U/J for any close and hold above the 4hr Cloud and the inverse H&S ‘neck line.
  • however, the USDX monthly trend line could pose a threat to bullish continuation with the U/J.