Euro is advancing toward 1.14 after yesterday's dip to 1.1315. The following give insights on EURUSD based on Elliott wave theory.
December 04, 2018 | AtoZ Markets – The Euro-dollar currency pair dropped close to 1.13 yesterday after a better than expected US manufacturing PMI data. 1.127-1.13 support zone still holds as price returned back close to 1.14 following a 3% drop in US treasury yield. The Euro economic calendar remains relatively light today with no vital high impact events. The Euro might continue the bullish resurgence if the current move hits above 1.14.
Currently, EURUSD is slightly above yesterday's high at 1.1380 but has been a bit quiet in today's London session. The bullish recovery, a potential complex zigzag pattern, from 1.1215 is set to continue if price breaks above 1.14. Euro might stay upside in much of this month.
EURUSD Elliott Wave Analysis and Important Price Levels
The second leg of a potential double zigzag pattern ended at 1.127 and the rally afterwards shows the start of the last leg. If price continues as expected, it should advance further to 1.15-1.16 at least. The bullish correction from 1.1215 would be very shallow if price continues the larger bearish trend from 1.16. The bullish correction might therefore continue after 1.16 to 1.2. From the intraday day degree, 1.13-1.132 remains the support zone. Price is following as expected from the last update. A break above 1.14 is needed to trigger the bullish move to 1.15-1.16. A fast drop below 1.127 might set Euro back on the bearish path.
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