Bulls remain in EUR/USD

May 2, 2016 10:51 AM

The U.S. dollar is trading down against the euro, pound and Japanese yen for the last few sessions while stocks were in a bearish pullback. Well, on indexes we see corrective set-back so if uptrend will resume on DAX and S&P500 then USD may find a support.

On German DAX we are looking at a complex corrective decline from 10520 that may find a low near 10000 psychological level. Notice that around that price we also see an important 50% Fibonacci support level that may send price higher this week, after an ending diagonal is finished in wave c.


German DAX- 1hr

On EUR/USD we are looking at new five wave rise in progress, probably that's wave c of a very complex corrective recovery from higher time frames. For now bulls are still here, but we will be looking for a turning point after five waves up are finished, possibly near 1.1525 where wave c equals to wave a.


EUR/USD - 1hr

About the Author

Gregor Horvat, based in Slovenia, has been in the forex markets since 2003. He is a technical analyst and individual trader who has worked for Capital Forex Group and TheLFB.com. He also is founder of forex services on www.ew-forecast.com. EW-Forecast.com provides technical analysis of the financial markets, highlighting behavioral patterns based on the Elliott Wave Principle (EWP). Website: http://www.ew-forecast.com/