Weekly waves: EUR/USD, GBP/USD and Bitcoin

Our weekly Elliott Wave analysis reviews the EUR/USD monthly chart, the GBP/USD 4 hour chart, and the Bitcoin crypto currency weekly chart.
The EUR/USD is expected to decline further but a larger support zone and 78.6% Fibonacci level (blue box) could stop the downtrend around 0.9750.
BTC/USD bearish breakout below the previous bottom (red arrows) indicates a downtrend continuation towards targets at $15k and $12.5k.

Chris Svorcik Elite CurrenSea

EUR/USD testing key support aone at 0.9750

The EUR/USD is testing again the key parity (1.00) level:

A bullish reaction at the support zone could indicate a larger bullish correction within the wave 4 (pink).
The bullish rebound could take price back up the 23.6% and 38.2 Fibonacci retracement levels plus resistance trend line.
Eventually a bearish continuation is expected towards the 88.6% Fibonacci retracement level and -27.2% Fibonacci target.
A bearish breakout below the support 0.9750 indicates an immediate continuation lower.

GBP/USD testing critical bottom and support

The GBP/USD is testing the previous bottom:

The GBP/USD is testing a key support zone (green box). A bullish breakout above the resistance zone (orange) could indicate a rally (blue arrows) towards the previous top (orange box).
In that case, price action is probably building an ABC (green) pattern in wave 4 (orange). A bearish breakout (red arrows) below the support (green box) could indicate an immediate downtrend towards 1.16 and 1.15.
In that case, price action is probably building a wave 123 (white) impulse.

BTC/USD wave patterns indicate consolidation

Bitcoin (BTC/USD) is building a bullish retracement but price action is struggling to find any substantial move up:

A bullish bounce at or above the previous bottom could indicate a sideways movement.
Price action could retrace upwards as high as the 38.2% Fibonacci retracement level but ultimately remain in a downtrend.
Eventually one more lower low is possible to complete a wave C (yellow) or finish a wave Y (pink).
A break above the 38.2% Fibonacci retracement level indicates a larger ABC (yellow) within wave Y (pink).

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

Author

Chris Svorcik

Elite CurrenSea

Experience Chris Svorcik has co-founded Elite CurrenSea in 2014 together with Nenad Kerkez, aka Tarantula FX. Chris is a technical analyst, wave analyst, trader, writer, educator, webinar speaker, and seminar speaker of the financial markets.

EUR/USD hovers around nine-day EMA above 1.1800

EUR/USD remains in the positive territory after registering modest gains in the previous session, trading around 1.1820 during the Asian hours on Monday. The 14-day Relative Strength Index momentum indicator at 54 is edging higher, signaling improving momentum. RSI near mid-50s keeps momentum balanced. A sustained push above 60 would firm bullish control.

GBP/USD holds medium-term bullish bias above 1.3600

The GBP/USD pair trades on a softer note around 1.3605 during the early European session on Monday. Growing expectation of the Bank of England’s interest-rate cut weighs on the Pound Sterling against the Greenback.

Gold sticks to gains above $5,000 as China's buying and Fed rate-cut bets drive demand

Gold surges past the $5,000 psychological mark during the Asian session on Monday in reaction to the weekend data, showing that the People's Bank of China extended its buying spree for a 15th month in January. Moreover, dovish US Federal Reserve expectations and concerns about the central bank's independence drag the US Dollar lower for the second straight day, providing an additional boost to the non-yielding yellow metal.

Bitcoin, Ethereum and Ripple consolidate after massive sell-off

Weekly column: Saturn-Neptune and the end of the Dollar’s 15-year bull cycle

Tariffs are not only inflationary for a nation but also risk undermining the trust and credibility that go hand in hand with the responsibility of being the leading nation in the free world and controlling the world’s reserve currency.

Bitcoin, Ethereum and Ripple consolidate after massive sell-off

Bitcoin, Ethereum, and Ripple prices consolidated on Monday after correcting by nearly 9%, 8%, and 10% in the previous week, respectively. BTC is hovering around $70,000, while ETH and XRP are facing rejection at key levels. Traders should be cautious: despite recent stabilization, upside recovery for these top three cryptocurrencies is capped as the broader trend remains bearish.