EUR/USD remains bullish after bouncing at the 21 ema support zone. But price action will soon reach the critical Fibonacci resistance zone and the previous top.
The EUR/USD remains bullish after bouncing at the 21 ema support zone. But price action will soon reach the critical Fibonacci resistance zone and the previous top.
Will price action reverse or break? Let’s review the most important Fibonacci, chart, and Elliott Wave patterns on the EUR/USD today.
The EUR/USD seems to be completing a bullish ABC zigzag (grey) within wave B (pink). This is taking place after price completed a bearish ABC (grey) in wave A (pink):
On the 1 hour chart, price action made a break above the previous top (orange box) to confirm an uptrend continuation as mentioned in our EUR/USD video yesterday. The bullish breakout was favored as long as price action remained above the 21 ema zone. Also the strong push away from the 21 emas followed by the shallow pullback favored a wave 3-4 (green) combination. What’s next:
Good trading,
Chris Svorcik
The analysis has been done with the indicators and template from the SWAT method (simple wave analysis and trading). For more daily technical and wave analysis and updates, sign-up to our newsletter
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Chris Svorcik is co-founder, trader, and analyst with Elite CurrenSea (www.EliteCurrenSea.com) since 2014.