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EUR/USD could resume downtrend soon; GBP/USD may have completed

EUR, GBP, AUD and others recovered yesterday against the USD after China provided 500 bln Yuan liquidity to 5 largest Chinese banks. However, the reaction on EURUSD has been limited quickly by the 1.3000 psychological resistance area. Technically speaking, we got that push up into wave (c) of 4 that we were looking at. Now we can count a completed contra-trend pattern from the low so the downtrend may resume soon. A break of that channel support line puts bears in control for 1.2850.

EURUSD Elliott Wave Analysis September 17 2014 technical outlook for currency trading forex
EURUSD 1h Elliott Wave Analysis

GBPUSD also recovered and now filled the gap from last Sunday. This gap can now turn into resistance and send the price down very soon. We already have three legs up, so a correction can be near completion. A move back beneath 1.6220 will be an important sign for a new shift on intraday-trend.

GBPUSD Elliott Wave Analysis September 17 2014 technical outlook for currency trading forex
GBPUSD 1h Elliott Wave Analysis

Gregor Horvat

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!