Written by www.ew-forecast.com |
EURUSD has made five waves of decline from 1.3700 followed by a very slow and overlapping recovery in the last four months. This recovery looks corrective because of the personality and now maybe already finished after recent reversal from 1.3450. Decline from that swing high is looking impulsive so we think that EURUSD has now turned bearish and that pair will continue lower in weeks ahead, ideally back to the yearly lows.
EURUSD Daily Elliott Wave Analysis
On the 4h chart we can see that pair found a support on Friday after NFP report around 1.3100 area 80 pip rally suggests that five waves down in complete and that pair is now reverses into a corrective retracement. As such, we will be tracking an A-B-C retracement, called a zig-zag back to 1.3225-1.3250 region before we may turn bearish again. In that zone we can also see a former wave four that may react as a reversal zone and cause a new sell-off for the pair.
EURUSD 4h Elliott Wave Analysis