Euro/pound ready for bounce

April 9, 2015 08:21 AM
Elliott Wave Analysis: EUR/GBP

We take a short-term Elliott Wave Analysis look at the euro/British pound pair.

The preferred view on the EUR/GBP suggests this pair is in a double three or ((w))-((x))-((y)) Elliott wave structure down from 0.7384 peak when dip to 0.7223 completed wave ((w)) and wave ((x)) ended at 0.7380 with a full test of 0.7384 peak. Wave (w) of ((y)) ended at 0.7285 and recovery to 0.7315 was wave (x). The pair is now trading lower in wave (y) of ((y)) which is expected to unfold in 3 swings and while below 0.7315, we expect to see another push lower toward  0.7217 – 0.7193 area to complete a ((w))-((x))-((y)) Elliott wave cycle from 0.7384 peak. Above area is expected to produce a bounce in 3 waves at least.

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