Short term Elliott Wave View in EURUSD suggests the rally from March 31, 2021 low is unfolding as a 5 waves nesting impulse Elliott wave structure. Up from March 31 low, wave (1) ended at 1.215 and pullback in wave (2) ended at 1.1984. Wave (3) is now in progress with subdivision as 5 waves in lesser degree. Up from wave (2) low, wave ((i)) ended at 1.2181, and pullback in wave ((ii)) ended at 1.205. Wave ((iii)) ended at 1.224, and wave ((iv)) dips ended at 1.2158.
Near term, expect 1 more push higher above wave ((iii)) to end wave ((v)). This last move higher should also complete wave 1 of (3) as a leading diagonal. Afterwards, pair should pullback in wave 2 to correct cycle from May 5 low before pair resumes the rally higher. As far as wave (2) low pivot at 1.1984 remains intact during wave 2 pullback, expect dips to find support in 3, 7, or 11 swing and pair to extend to the upside. Potential target for wave (3) higher is 100% – 161.8% Fibonacci extension of wave (1). That area comes at 1.242 – 1.27.
EURUSD 1 Hour Elliott Wave Chart
