EURUSD Elliott Wave Forecast Points Towards Temporary Correction

The Elliott wave forecast for EURUSD suggests that the current bear trend from September is temporary and a bullish wave may begin soon. Below we inspect three different Elliott Wave counts and their characteristics.

The higher probability Elliott wave count we are following is that wave b of an expanded flat or running triangle is mature. Both patterns imply similar outcomes in that a bullish reversal may begin soon, though the shape of the patterns are slightly different.

Bullish EURUSD in wave c of an Elliott Wave flat

An Elliott wave flat pattern is a 3-wave pattern labeled a-b-c. I believe we are towards the end of the ‘b’ wave and the bullish ‘c’ wave may begin soon. We know from our Elliott wave studies that the ‘b’ wave of a flat pattern will subdivide as a three wave move or complex correction. ‘B’ waves are typically 80-138% the length of the ‘a’ wave so this current correction lower can drift to 1.1113 and still be within the context of the flat pattern.

If support emerges, look for an impulse wave or diagonal wave to develop for a retest of the 1.18 high.

Article source: https://www.dailyfx.com/forex/technical/elliott_wave/eur-usd/2018/10/30/bullish-forecast.html