Short first then Long for a Lonnnnnnnggggggg time!!
Updated
Elliot Wave theory states that a triangle is signifying a terminal move and in the case of EURUSD, we have seen complete contracting triangle which started back in March 2015 and a completion of that triangle at the announcement of the US elections back in Nov 2016.
Current wave: Wave 5 of 5 with wave 1, 2 and 3 complete with the wave 3 extending to 1.618%.
Next wave: A wave 4 of sorts will start shortly and I predict that it will be a triangle at a lesser degree signifying and yet another terminal sub wave move
Forecast move: I expect this pair to make a new 14 year low at around the 1.0430 price mark and then a MASSIVE directional change for years to come.
Current wave: Wave 5 of 5 with wave 1, 2 and 3 complete with the wave 3 extending to 1.618%.
Next wave: A wave 4 of sorts will start shortly and I predict that it will be a triangle at a lesser degree signifying and yet another terminal sub wave move
Forecast move: I expect this pair to make a new 14 year low at around the 1.0430 price mark and then a MASSIVE directional change for years to come.
Note
Update on current Wave: Looks like wave 4 retracement hit 50% - I don't know if wave 4 is complete as I am still sticking with the triangle prediction but below is what I am hoping will play out of the next few days.Alternate count is the there could be an ending diagonal of sorts as that also signifies a terminal move.
Forecast move remains the same: I expect this pair to make a new 14 year low at around the 1.0430 price mark and then a MASSIVE directional change for years to come.
Note
New low made so go Long and keep it long for a a lonnnnnnggggggggggg time!Note
Quick update: Been looking at the possibilities for EURUSD and I am yet to find a conclusive answer as to what the long term move will be but here are some key facts.1: EURUSD has a Bullish Divergency in every timeframe from Monthly to hourly indicating that USD has been MASSIVELY overbought since the high in July 2008
2: We saw the 5th wave breakout which completed yesterday off the larger wave 4 triangle.
3. There will be a rally by the EUR of sorts for either a change in direction or a corrective ABC long from here.
4. FOMC saw the Fed rate increase to 0.75% so demand for the USD should increase but given that USD is MASSIVELY overbought, I am unsure this will have long term impact on the USD to gain strength to dip below 1.000 mark
Feel free to share your views and thoughts on the above
Happy Trading!
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