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The USD finished the week in a strong manner on Friday after a very good NFP report. We have seen a new leg down on EURUSD and other pairs as well. GBPUSD also finally broke to the downside.

However, the question is how much room is there left within USD strength? Keep in mind that we are tracking big fifth waves across the board, so sooner or later these trends could change. It will be interesting to see what happens when the USD index will get above those 2009 highs. However, for now we need to focus on short-term swings.

On EURUSD we see five waves down on the 15min chart so support could be near, but for now, the pair is still not bottoming. However 1.2200 definitely could be support for a next bounce in price, even if this is just corrective.

EURUSD Elliott Wave Analysis December 8 2014 technical chart for currency trading foreign exchange

EURUSD 15min Elliott Wave Analysis

GBPUSD is also in an impulsive downtrend, with room for more declines in the short-term as wave 5 is still not in five subwave, so current the intraday leg to 1.5580 could be fourth wave, as part of a downtrend.

GBPUSD 1h Elliott Wave Analysis

GBPUSD Elliott Wave Analysis December 8 2014 technical chart for currency trading foreign exchange