? EUR/USD ABC Correction Creates New Triangle Pattern ?

2 min read

Hi traders,

The EUR/USD is testing a key support trend line, which is a bounce or break decision zone.

EUR/USD

4 hour


A bearish breakout indicates the end of the wave W (pink) and the start of a new bearish correction within wave X. If price is showing strong bearish momentum, then the alternative wave pattern is a bearish wave 4-5 combination. A bullish bounce however could see price move up to test the previous top at 1.1840.

1 hour


The EUR/USD bounced at a deep 61.8% Fibonacci level of wave 4 (blue) after what seems to be an ABC correction (green). Support and resistance trend lines are now dominant. A bearish break would indicate a different wave pattern whereas a bullish breakout makes a bullish wave 5 (blue) within wave C of W likely.

Good trading,
Chris Svorcik
Elite CurrenSea

Leave a Reply

avatar

This site uses Akismet to reduce spam. Learn how your comment data is processed.

  Subscribe  
Notify of