Wave Analysis 31.10.2016 (EUR/USD, GBP/USD, USD/JPY, AUD/USD)
31.10.2016
Forecast for October 31st, 2016
EUR USD, “Euro vs US Dollar”
It looks like last week the EUR/USD pair completed the wave [i] and started a new ascending correction. Considering that the price is about to finish the wave [ii], in the nearest future the market is expected to resume its decline in the wave [iii].
More detailed structure is shown on the H1 chart. Probably, the wave [ii] is taking the form of the zigzag. After finishing the ascending impulse in the wave (c), the market may resume moving downwards.
GBP USD, “Great Britain Pound vs US Dollar”
At the H4 chart, the GBP/USD pair is probably forming the horizontal triangle in the wave (iv). If later the price rebounds from the pattern’s upside border, the instrument may continue falling in the wave (v) of [iii].
As we can see at the H1 chart, the pair is forming the ascending zigzag in the wave e of (iv). On Monday, the price may form the ascending impulse in the wave [C] and test the upside border of the triangle.
USD JPY, “US Dollar vs Japanese Yen”
Possibly, the USD/JPY pair completed the wave (y) of [iv]. Consequently, the fourth wave may take the form of the double three. However, due to the rather complicated chart structure, to confirm the wave [v], the price has to form a new descending impulse.
At the H1 chart, we can see a predicted structure of the wave (y). It looks like the pair completed the diagonal triangle in the wave c. After finishing the local correction, the market may start falling in the wave [3] of i.
AUD USD, “Australian Dollar vs US Dollar”
It’s highly likely that the AUD/USD pair completed the horizontal triangle in the wave 4. As a result, in the nearest future the market may continue falling in the wave [i] of 5.
As we can see at the H1 chart, over the last couple of weeks, the pair finished two descending impulse, the waves (i) and i. Considering that this structure may turn out to be a zigzag as well, to confirm a further decline, the market has to complete the wave ii and start forming the descending impulse in the wave iii.
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Forecasts presented in this section only reflect the author’s private opinion and should not be considered as guidance for trading. RoboForex bears no responsibility for trading results based on trading recommendations described in these analytical reviews.