Elliott Wave Analysis: EUR/USD Finds Bottom

Technical analysis of Forex market

EURUSD came to a new low on Friday, but then it quickly stabilized so we have to be aware of a higher degree shape; an ending diagonal that can come to an end soon. Further impulsive rise from here would suggest that pair is bottoming and that much higher prices are coming.

EURUSD came below 1.1524 last week after a corrective B) wave rises to the channel resistance line. We expected that drop into C) which can be now the final stages of wave 5 that belongs to a higher degree ending diagonal. As such, we are aware of a reversal, but any change in trend can be confirmed only if the upper line of a wedge is broken, plus an impulse back to 1.1690.

EUR/USD 4h Elliott Wave analysis