The EUR/USD made a bullish breakout above the resistance of the downtrend channel. This bullish breakout could indicate the end of wave 3 (green) and the start of wave 4 (green). Price has already reached and respected the 23.6% Fibonacci retracement level of the wave 4. Price however could retrace deeper to the 38.2% or 50% Fibonacci level. A break above the 61.8% Fib would make such a wave 4 (green) pattern less likely. A break below support could perhaps see an immediate continuation lower and indicate the completion of wave 4.
The EUR/USD seems to have completed a bullish ABC (brown) pattern, which could be part of a larger WXY (orange) correction. A bullish break above resistance (orange) could still a larger bullish correction. However, a bearish breakout below the support trend line (green) could indicate a trend continuation towards 1.17-1.18.
