EURUSD faces some bearish price action for the last two months. We can see three waves down, but an extended and sharp third wave suggests that this is an ongoing bearish five-wave impulse for wave C of a higher degree flat correction. So, more weakness is in view for wave 5 after a pullback up into wave 4 that can find new sellers at current 1.0790-1.0830 area.
EURUSD is coming higher on the intraday basis as expected, up into wave (c) of 4 which is now trading at 1.0780-1.08 resistance. It’s an ideal zone for a new turn down, ideally into a fifth wave to 1.06 or even 1.05 in weeks ahead, while the price should remain below 1.0968. Why 1.0968= because what was wave 2 low, and wave 4 should not overlap it. These are always important, to know where are we wrong and can adjust any trades accordingly.
We talked about EURUSD in our latest live webinar recorded on June 6th. Watch it below:
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