EUR/USD Elliott Wave Analysis

By: Enda Glynn | Wed, Jan 4, 2017
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Daily Chart:

EUR/USD Daily Chart
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4HR chart:

EUR/USD 4-Hour Chart
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30 min chart:

EUR/USD 30-Minute Chart
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My Bias: short in wave 3 blue.
Wave Structure: downward impulse wave 1, 2 blue
Short term wave count: lower in wave 3 green
Long term wave count: lower in wave 3 blue
Important risk events:  EUR: N/A. USD: ADP Non-Farm Employment Change, Unemployment Claims, ISM Non-Manufacturing PMI, Crude Oil Inventories.

Hi everyone.

EURUSD followed yesterdays analysis to a T!
Now it gets very interesting in terms of the current wave count.

Of the November high at 1.1295,
- We have a complete wave 1,2 down in blue,
- a complete wave (i), (ii) down in green
- and a possibly completed wave 'i,ii' down in brown.

If this wave interpretation correct here the potential for an acceleration to the downside is very large here.

I expected a rally in wave ii brown yesterday, and today we got it.
That rally reached the 50% retracement of wave 'i' brown, at todays high.
So far, that key level I mentioned seems to have stalled progression.

The invalidation point for this short term elliott wave count is at 1.0650.
So I want to see a turn lower before that point.

Now, it is time to get eyes on, to see if we get a turn down and the formation of a lower high, below todays high, which will offer a low risk short opportunity.

That could occur tomorrow, but, be aware that tomorrow is a big data day for the dollar, the reaction to this data could cause a whipsaw in the price action.

 


 

Enda Glynn

Author: Enda Glynn

Enda Glynn
humbletraders.com

Enda Glynn

I class myself as an Elliott wave trader now, but that's not how I started out though! It took me a long time and a whole lot of pain, to finally understand what drives the price and how to use Elliott Wave correctly!

I have been trading for years and I have tested every trading system and strategy under the sun! I used to pick entry points at random based on emotion or news events or something I heard on TV! It did not take long to destroy my capital! I have blown out my account balance before, and I had to start again,

from scratch!

Believe me, I am well acquainted with failure in trading! Im sure that the above scenario is pretty familiar to you too. We have all been there. About 10 years ago I discovered The Elliott wave Principle and its method of market analysis. Since then, I have spent years learning, testing and trading, using the wave principle as the backbone of my analysis. I even went to college to study macroeconomics and econometrics. I graduated with honours degree back in 2012. The financial market knowledge and statistical edge I gained after my degree added another level to my trading. The difference in my trading approach using the wave principle, compared to before, is like night and day.

The price started to move "my way" more and more often. The wave model, offers me a lens to view market action through, which no other form of analysis can do. Elliott wave analysis, helps me answer four key questions when I am contemplating a trade:

• What direction the price is trending.
• How far is this trend likely to go.
• Where can I enter a trade with the best risk reward ratio.
• And most importantly, at what point am I definitely wrong?!

The wave principle helps me improve my trade entry, tighten up my money management and in turn increase profitability. Seeing the waves unfold before your eyes is a very rewarding experience, It is almost like peering into the future! That is how the wave principle helps my trading, and that is why the wave principle will improve your trading. It took a long time to finally master Elliott Wave Principle. After over a decade of hard work, research and learning I can call myself an expert in the field. I regularly contribute to major trading communities at FXStreet, Forex Factory, Traders Planet. I am a chief Elliott Wave analyst at HumbleTraders.

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