Euro/U.S. Dollar (EURUSD) Daily Chart Analysis
EURUSD Elliott Wave Technical Analysis
Function: Counter-Trend
Mode: Corrective
Structure: Orange Wave 2
Position: Navy Blue Wave 3
Direction Next Higher Degrees: Orange Wave 3
Wave Cancel Invalid Level: 1.02098
Market Overview
The EUR/USD Elliott Wave Analysis for the daily chart highlights a counter-trend correction, with the pair currently in orange wave 2, a segment of a broader corrective structure within navy blue wave 3. This suggests an intermediate correction phase before the potential continuation of the primary trend.
Wave Progression
- Orange wave 1 has likely completed, with orange wave 2 now unfolding.
- This correction phase may include sideways or downward price movements before the beginning of orange wave 3.
- Completion of orange wave 2 is critical, as it may mark the start of orange wave 3, potentially an impulsive move in the direction of the broader trend.
Key Level to Monitor
- Wave cancellation invalid level: 1.02098
- A break above 1.02098 will invalidate the current Elliott Wave count, necessitating a market structure reassessment.
- This level serves as key resistance, and a breakout beyond it could indicate a trend shift.
Conclusion
EUR/USD remains in a corrective phase within its Elliott Wave structure, with orange wave 2 in play after the completion of orange wave 1. This movement is part of navy blue wave 3, and the next major move is anticipated to be orange wave 3.
Traders should closely monitor orange wave 2’s completion, as it offers insights into the timing and direction of the next market move. Understanding wave structures is vital for forecasting potential market trends and aligning trading strategies accordingly.
Euro/U.S. Dollar (EURUSD) 4-Hour Chart Analysis
EURUSD Elliott Wave Technical Analysis
Function: Counter-Trend
Mode: Corrective
Structure: Orange Wave 2
Position: Navy Blue Wave 3
Direction Next Higher Degrees: Orange Wave 3
Wave Cancel Invalid Level: 1.02098
Market Overview
The EUR/USD Elliott Wave Analysis for the 4-hour chart suggests a counter-trend correction, with the pair currently in orange wave 2, which forms a segment of the larger corrective structure within navy blue wave 3. This indicates an intermediate correction phase before resuming the broader trend.
Wave Progression
- Orange wave 1 appears to be complete, with orange wave 2 currently unfolding.
- The correction phase may involve sideways or downward movement before the emergence of orange wave 3.
- The completion of orange wave 2 is key, as it may signal the beginning of orange wave 3, a potential impulsive move in the direction of the broader trend.
Key Level to Monitor
- Wave cancellation invalid level: 1.02098
- If the price breaks above 1.02098, it will invalidate the current Elliott Wave count, necessitating a market reassessment.
- This level functions as key resistance, and a breakout beyond it could indicate a trend reversal.
Conclusion
EUR/USD is currently in a corrective phase within its Elliott Wave structure, with orange wave 2 following the completion of orange wave 1. This pattern is part of navy blue wave 3, and the next major movement is expected to be orange wave 3.
Traders should monitor orange wave 2’s completion, as it will provide insights into the next directional move. Understanding wave structures is crucial for predicting market movements and refining trading strategies effectively.
Technical Analyst: Malik Awais
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