its again time for the weekly checkup!
There is a small potential for wave 4 (in green) to be not just finished. Maybe wave (v) in red is just ( iii ) and we will see a push higher.
If we break below the previous low (wave (iv)) we should see EURUSD fall like a stone.
Lets take a look closer to the hourly charts. I have two possible scenarios where we would see a push higer.
The first one is the idea of an . We have seen another in wave (3) (in green) before.
The other scenario is this of an running triangle where wave B runs higher than wave (3) (in green).
Now to complete this idea lets take a look at the DXY . There we have a breakout of the and a divergence in , which would stand for lower prices in EURUSD .
After we had some really bad economic news in the US the FED seems to be unsure about the change in bank rates which disappoints many people.
We have hidden divergence in RSI (see babypips.com Divergence Cheat Sheet), are near the equality of wave a and c and have reached area of previous wave 4. This should be confirmed by a break out of the correction channel (green) otherwise its again something different ;-)