Simple Moving Average(SMA) 50-period (red), 200-period (bold, gray)
RSI-14 with Simple Moving Average 5-period of RSI attached.
Elliott Wave Principles
Market and Price Action (patterns, candlesticks)
Intraday pivots and Intermediate-term support and resistance
Multiple Time-frame Analysis Follow up to EUR/USD's Short Term Elliott Wave Analysis; Engulfing Pattern (1/23)
- We saw the EUR/USD possibly topping to start the week, and the market has brought the pair from its high to start the week near 1.3640 down 100 pips to the 1.3540 area.
- The wave count suggests we can have 1 more rally attempt, before topping is complete.
- If the market tops, a big early clue is a break below 1.3520.
- A break below 1.3490 also helps confirm, along with the RSI in the 1H chart breaking below 40.
- If the rising trendline is broken, we can also target 1.3250 in the short-term. A break below 1.34 confirms this bearish outlook towards 1.3250.
- The exposure on top is a rally towards 1.37, 1.3745(61.8% retracement). Perhaps we should anticipate another rally to this area if the 1.3490-1.3520 support area holds.
- Let's monitor for this occurrence in the US session.
Will the EUR/USD top off soon? We would love to hear what you think.
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Fan Yang CMT
Chief Technical Strategist