Wave Analysis 20.01.2017 (EUR/USD, GBP/USD, USD/JPY, AUD/USD)
EUR USD, “Euro vs US Dollar”
The EUR/USD pair is still being corrected. It looks like after finishing the wedge in the wave [a], the price started forming the correctional wave [b]. It’s highly likely that later the market may resume growing and form the ascending impulse in the wave [c] of 2.
More detailed structure is shown on the H1 chart. Probably, the pair finished the wave (b) in the form of the flat and may start a short-term decline in the wave (c) of [b]. To confirm the wave [c] of 2, the market has to form the ascending impulse inside it.
GBP USD, “Great Britain Pound vs US Dollar”
Probably, the wave (v) of [v] is taking the form of the diagonal triangle. It’s highly likely that the pair completed the second wave inside the above-mentioned pattern and right now is forming the third one. As a result, in the nearest future the market may continue falling.
As we can see at the H1 chart, the price completed the wave ii on the form of the zigzag. Taking into account that earlier the pair finished the wave i in the form of the zigzag as well, later it is expected to form another zigzag, this time in the wave iii. Consequently, in the nearest future the market may break the low of the wave i.
USD JPY, “US Dollar vs Japanese Yen”
Possibly, the wave 2 took the form of the zigzag with the diagonal triangle[c] inside it. As a result, during the next several days the market may move upwards in the wave [i] of 3.
More detailed structure is shown on the H1 chart. After rebounding from the diagonal triangle’s downside border, the pair formed the bullish impulse in the wave (i). After completing the local correction, the market may form another bullish impulse in the wave (iii).
AUD USD, “Australian Dollar vs US Dollar”
Probably, the AUD/USD pair completed the wave [ii] in the form of the double zigzag. To confirm a new decline, the price has the descending impulse.
As we can see at the H1 chart, the wave [5] of c took the form of the diagonal triangle. Consequently, on Friday the pair may form the descending impulse in the wave i, which may later be followed by new local correction.
RoboForex Analytical Department
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.