In the 1960’s, a Rocket Scientist named Pete Haurlan was busy by day to steer rock ships on course and by night a lover of stock markets. The show Wall Street Week was Pete Haurlan’s invention and first host in the 1960’s. Sherman and Miriam McClellan of McClellan Oscillator fame can thank Pete Haurlan as he found both based on a Technical Analysis contest in the 1960’s. Haurlan’s claim to fame was inventor of the Exponential Moving average but with various twists applied to stock prices. Haurlan used various Exponential Smoothing techniques to find Trends then labeled as 1% Trend, 10% Trend and 50% Trend. The best known person on Haurlan today is Tom McClellan and son to Sherman and Miriam. For more, mcoscillator.com
I replicated Haurlan’s Trends 5 years ago and applied it to my satisfaction based to currency prices. Haurlan’s 1%, 10% and 50% were employed as 1% short term, 10% intermediate and 50% long term. I combined Haurlan’s Trends as one Trend Indicator and its employed as a daily Tracking Signal. Daily Tracking Signal means an automatic daily update but never to act on the signal until a clear buy or sell signal is evident. Takes sometimes many, many months before a clear buy or sell signal materializes because its a long term Trend Indicator.
What I’m seeing from GBP is cross pairs are flashing buy signals from GBP/CHF, GBP/CAD, GBP/NZD and GBP/AUD. The reverse holds true as sell signals in CHF/GBP, CAD/GBP, NZD/GBP and AUD/GBP. The strongest signals are GBP/CHF and GBP/AUD because both are backed by buy signals in EUR/CHF and EUR/AUD. What GBP cross pairs says overall is bottoms are close and a trend higher is on the way. Where the signals lack in GBP/USD and GBP/JPY.
GBP/USD. Close 1.2405. Break points 1.2419 and 1.2529. Uptrend lines 1.2521 and 1.2624. Downtrend lines 1.2435 and 1.2317.
GBP/JPY. Close 140.05. Break points 140.18 and 140.23. Uptrend Lines 141.55, 143.19 and 143.70. Downtrend lines 138.81 and 136.75.
GBP/CHF. Close 1.2437. Break Points 1.2498 and 1.2531. Uptrend Lines 1.2577 and 1.2642. Downtrend Lines 1.2484 and 1.2355.
GBP/CAD. Close 1.6284. Break points 1.6481 and 1.6514. Uptrend Lines 1.6617 and 1.6675. Downtrend Lines 1.6498, 1.6351 and 1.6345.
GBP/NZD. Close 1.7286. Break points 1.7434 and 1.7453. Uptrend Lines 1.7600 and 1.7627. Downtrend Lines 1.7240 and 1.7306.
GBP/AUD. Close 1.6193. Break points 1.6541 and 1.6604. Uptrend Lines 1.6723 and 1.6829. Downtrend Lines 1.6359 and 1.6378.
GBP/EUR. Close 1.1683. Break points 1.1648 and 1.1693. Uptrend Lines 1.1723 and 1.1789. Downtrend lines 1.1663 and 1.1506.
Brian Twomey, Inside the Currency Market, btwomey.com