EUR/USD Bullish Reversal at 1.15 after Breaking Resistance Line

EUR/USD

4 hour

The EUR/USD bounced strongly at the 1.15 support zone, as indicated in the wave analysis yesterday. The bullish reversal could be part of a larger wave B (pink) correction and price could move up now for an impulsive wave C (pink) in wave B (purple). In any case it seems likely that price is building a lengthy consolidation zone at the moment.

1 hour

The EUR/USD indeed completed a bearish ABC pattern (purple). Price then broke above the resistance trend line (dotted orange) for a bullish breakout towards the wave C (pink) Fibonacci targets. The breakout itself could be a wave 3 if price manages to stay above 1.16.

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