Some of my readers will recognize my previous work from the Reversion to the Unified Mean (RUM) Wave blog. I wrote it in relative anonymity for a couple years. That work can now be found here.
This morning I decided to take a peek at the Euro/USD to see how it looked. I noticed a bearish divergence between the tops of the candlesticks and the tops of the RSI. Then, I put the numbers for that chart into my scoring system. Below are the results.
The Euro has had a nice run though August. Lots of European headlines this week, particularly on Thursday with the ECB policy announcement. The chart and the score look like the Euro is ready to give up the ghost on any negative news. Just something to keep an eye on here in the US markets, as we tend to be somewhat correlated to the Euro/USD.
GOOD LUCK TOMORROW!