GBPUSD at a crucial point

3 or C

Election or not the sharp drop of Thursday was doomed to happen. Because there had been a 5 wave impulse after the triangle, completing the overall ABC. The completed ABC structure comprises of the A wave as a leading diagonal and the 5th of the C as an ending diagonal.

Now the question is that if the overall higher degree correction complete, or there is more to come? Clearly there are countable 3 waves in the lower degree marked in blue. Obviously this constitutes for both ABC or up to 123 of an impulse. Which is it going to be? Only the price action next week could tell if the cable has turned bearish for the higher-degree 5th wave or not.

EURUSD has topped for now

Blue or green? Only time will tell

It is apparent that the wave 4 correction is still incomplete. If it is the blue “Flat” correction in play, then the forthcoming few weeks will most probably go into a sideways correction. On the other hand if this whole pattern is a part of the monstrous green triangle structure, we will see a very deep pull back to the downside.

Either way, EURUSD has topped and looking bearish for now.

Where is EURUSD heading?

After a while It’s been a while since my last post. It’s because I have been quietly developing a custom indicator to spot directional bias as well as subtle changes in momentum for both directions. Let me just say, the results are amazing in testing and you can have a peak at it in this … Read more

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A volatile week for EUR/USD EUR/USD managed to produce a measly net move of 24 pips for the whole of last week. Clearly the market failed to show a directional bias. But the volatility was off the hooks, mostly towards the end of the week. So there were sharp intraday movements to both sides. With NFP on Friday, we saw … Read more

EURUSD Elliott wave analysis and weekly outlook – 29th August – 2nd September 2016

Bears are awake EURUSD started to decline quite sharply, as expected in last weeks analysis – EURUSD weekly outlook – 22nd – 26th August 2016. However it is too early to conclude that price will reach the bottom structure levels with a single impulsive wave. At best the wave will be less choppy without anymore deeper corrections. But before all … Read more

EURUSD Elliott wave analysis and weekly outlook – 22nd – 26th August 2016

Elliott wave analysis of the weekly correction Contrary to previous weeks forecasts, Euro-dollar price has closed well above the bearish channel.  Now, this weekly close warrants a re-evaluation of the long term forecast. However, a single candle close (regardless of the timeframe) does not pose a significant impact in terms of the overall direction of the market. But … Read more