The current EURUSD structure suggests that we are near the end of a major upward impulse wave.
We see after completing the ascending cycle wave III, a decline in the correction IV initiated.
The correction wave IV structure could be a triple zigzag, consisting of primary sub-waves Ⓦ – Ⓧ-Ⓨ-Ⓧ-Ⓩ.
Wave Ⓩ, as the last part of the correction IV, is expected to be completed near 1.097 and could end in a standard zigzag pattern.
The target would respect the 78.6% Fibonacci retracement.
Looking at the structure closer provides an alternative scenario that might come into play. In this, the corrective wave IV could end earlier than expected in the main scenario.
This scenario looks at a weaker wave (C) in the zigzag Ⓩ, and also an identical low for Ⓩ and Ⓨ.
Since the impulse (C) is already under formation, we can expected the completion of this last wave near 1.1049.
Join our responsible trading community - Open your Orbex account now!
