|

We should see a reversal lower in the dollar

After all the ups and downs in EURUSD, we are finally reaching the (cyan) Wave c/v. I have also noted that GBPUSD has seen both hourly and 4-hour bullish divergences. So once we have seen the EURUSD low we can look to the upside in these two pairs. 

I was correct to be cautious in USDCHF. We did see losses to complete a double zigzag. Perhaps we shall see a pullback and yet another zigzag to complete a triple three. As for USDJPY, I’m rather cautious about the apparent zigzags. This is still going to be a puzzle as to whether the (red) Wave -i- and Wave -ii- or a shallow pullback in the (green) Wave -i- to form a Wave -ii-. This seems to still be an ongoing development that will need dual developments…

I’d love to see the Aussie go higher again – but it’s a coin toss, to be honest. The (cyan) Wave -b- was relatively shallow but with the Wave -iii- it can see those losses directly. Best wait for breaks of the current highs and lows…

Once EURUSD has found its low we should see deeper gains and as discussed in USDJPY, we may see a final zigzag to then push back higher. This should, over the day, see some decent gains in EURJPY.

Author

Ian Copsey

Ian Copsey

Harmonic Elliott Wave

Ian Copsey has been around in financial market for over 30 years, the last 23 years as a technical analyst. He focuses heavily on price development and structure as "it is the only way to generate accurate support and resistance".

More from Ian Copsey
Share:

Editor's Picks

EUR/USD extends its optimism past 1.1900

EUR/USD retains a firm underlying bid, surpassing the 1.1900 mark as the NA session draws to a close on Monday. The pair’s persistent uptrend comes as the US Dollar remains on the defensive, with traders staying cautious ahead of upcoming US NFP prints and CPI data.
 

GBP/USD hits three-day peaks, targets 1.3700

GBP/USD is clocking decent gains at the start of the week, advancing to three-day highs near 1.3670 and building on Friday’s solid performance. The better tone in the British Pound comes on the back of the intense sekk-off in the Greenback and despite re-emerging signs of a fresh government crisis in the UK.

Gold picks up pace, retargets $5,100

Gold gathers fresh steam, challenging daily highs en route to the $5,100 mark per troy ounce in the latter part of Monday’s session. The precious metal finds support from fresh signs of continued buying by the PBoC, while expectations that the Fed could lean more dovish also collaborate with the uptick.

XRP struggles around $1.40 despite institutional inflows

Ripple (XRP) is extending its intraday decline to around $1.40 at the time of writing on Monday amid growing pressure from the retail market and risk-off sentiment that continues to keep investors on the sidelines.

Japanese PM Takaichi nabs unprecedented victory – US data eyed this week

I do not think I would be exaggerating to say that Japanese Prime Minister Sanae Takaichi’s snap general election gamble paid off over the weekend – and then some. This secured the Liberal Democratic Party (LDP) an unprecedented mandate just three months into her tenure.

Ripple exposed to volatility amid low retail interest, modest fund inflows

Ripple (XRP) is extending its intraday decline to around $1.40 at the time of writing on Monday amid growing pressure from the retail market and risk-off sentiment that continues to keep investors on the sidelines.