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24.01.2022 02:05 PM
Wave analysis for EUR/USD on January 24, 2021

We continue to consider the main currency pair on the four-hour timeframe. Today, major economic news in the EU and the US are not expected.

EUR/USD, H4 timeframe:

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According to the Elliott theory, a global corrective trend is moving in a downward direction. This trend is likely to take the form of a triple zigzag WXY-XX-Z.

On the four-hour timeframe, it shows that the decline in the current wave Y was already over, which was followed by an upswing in the wave bundle XX.

The internal structure of wave XX hints at a double zigzag [W]-[X]-[Y], where the wave bundle [X] is an inclined triangle (A)-(B)-(C)-(D)-(E). Now, a bullish action wave [Y] is under development, which can be a standard zigzag (A)-(B)-(C).

The final impulse wave (C) is needed to complete the above zigzag. It is possible that wave (C) will take the form of a finite diagonal.

The price of quotes may rise to the level of 1.1600. At this level, the size of wave XX will be 38.2% along the Fibonacci lines from wave Y.

Trading recommendations: buy from the level of 1.1312 and take profit at 1.1600.

Roman Onegin,
Analytical expert of InstaForex
© 2007-2025
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