Elliott Wave Analysis: EURGBP and EURJPY

EURGBP

EURGBP made a turn with small five waves up, labeled as wave a), so more upside can be seen after a wave b) set-back. But keep in mind that a higher degree trend is down still, so any bounce in three waves can be temporary and part of a bearish structure.

EURGBP, 1H

EURJPY

Even EURJPY which has been very weak recently is turning up now, firstly with three waves that are expected to reach former wave four near 120.30 minimum, but then we may even see much higher extensions in an impulsive fashion if we consider the possibility of a big completed corrective set-back at the recent low. I like the pattern on this one, but mid-term bearish view for EURUSD is what concerns me. Another thing is that we see stocks with limited upside as DAX can be headed up for a fifth wave, so once a larger correction on stocks will begin that’s when JPY can benefit.

EURJPY, 1H

Gregor Horvat

Grega Horvat Grega is based in Slovenia and has been involved in markets since 2003. He is the owner of Ew-Forecast, but before that he was working for Capital Forex Group and TheLFB.com. His feature articles have been published on FXstreet.com, Thestreet.com, Action forex, Forex TV, Istockanalyst, ForexFactory, Fxtraders.eu, Insidefutures.com, etc. He recently won the award on FXStreet.com for Best Forex Analysis in 2016. At Ew-forecast he helps clients and educates them about the Elliott wave principle and how to label and track unfolding patterns in real time. His approach to the markets is mainly technical. He uses a lot of different methods when analyzing the markets such as candlestick patterns, MA, technical indicators etc. His specialty, however, is Elliott Wave Theory which could be very helpful especially if you know how to use it in combination with other tools/indicators. EW-Forecast To be involved in the market effectively, you need the right guidance and resources, and our team can help you to achieve that. Our team is providing advanced informations about Elliott Wave theory in real time. The Elliott Wave Principle gives you a method for identifying the behavior of the markets and at what points the market is most likely to turn. We help new traders who are interested in Elliott Wave theory to understand it correctly. We are doing our best to explain our views as simple as possible with educational goal, because knowledge itself is power!

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