Forex Majors After Inflation Data – Intraday Technical Analysis

By Richard Tataru Last updated Oct 31, 2021

Forex pairs were directly affected by the Consumer Price Index (CPI) data, as some sharp moves were noticed on the charts.

These sudden moves have been in-line with the most recent views shared with Orbex traders via the daily Market Insights videos.

GBP and USD inflation data both show disappointing figures, and this could lead to possible reversals ahead.

Larger degree patterns could be completing for most FX Majors, which could mean that the tables are turning for currencies.

In the lines below, a technical perspective is shared, along with wave counts and possible structures.

Wave Counts & Structures

Dollar Index (DXY) – 2H Chart

DXY labeled in a Zig-Zag corrective structure for Minor B (red), with Minor C (red) possibly commencing a bearish impulse.

EUR/USD – 2H Chart

EUR/USD labeled in a corrective structure for Minor B (green), with Minor C (green) possibly commencing a bullish impulse.

GBP/USD – 2H Chart

GBP/USD labeled in a bullish sequence, with Minor 1 (green) reflecting the beginning of a possible ending diagonal in the larger degree Intermediate (C) (green). Minor 2 (green) could be unfolding as a complex triple three corrective structure and a bullish impulse could begin within Minor 3 (green).

USD/JPY – 4H Chart

USD/JPY is labeled within a bullish corrective pattern, with a leading diagonal in Minor A (green), a running flat in Minor B (green) and an ending diagonal in Minor C (green). An impulsive bearish sequence could be resuming soon.

USD/CHF – 2H Chart