Euro/U.S. Dollar (EURUSD)

EURUSD Elliott Wave Technical Analysis

EURUSD Elliott Wave Analysis – Daily Chart

Function: Trend
Mode: Impulsive
Structure: Gray Wave 3
Position: Orange Wave 5
Direction (Next Higher Degrees): Gray Wave 3 started
Details: Gray wave 2 appears completed; gray wave 3 is now underway.

The daily chart analysis for EURUSD highlights a clear uptrend with impulsive wave action dominating. The pair is currently progressing through gray wave 3, specifically positioned in orange wave 5, indicating an advanced stage of this upward movement.

With gray wave 2 completed, the pair has entered the typically strongest phase—wave 3, known for strong momentum and extended movement. The impulsive nature implies sustained buying interest, with consistent higher highs and higher lows supporting a bullish setup.

The presence of orange wave 5 suggests this could be the final leg of the current intermediate move. However, as gray wave 3 has just started at a higher degree, additional upside remains likely. Traders should monitor for continuation patterns, particularly wave extensions and Fibonacci levels, which are often prominent in third waves.

EURUSD Elliott Wave Analysis – 4H Chart

Function: Counter Trend
Mode: Corrective
Structure: Micro Navy Blue Wave 2
Position: Within Gray Wave 3
Direction (Next Higher Degrees): Micro Navy Blue Wave 3
Details: Micro navy blue wave 1 is complete; micro navy blue wave 2 is currently unfolding.

The 4-hour chart shows EURUSD in a corrective counter-trend phase, developing micro navy blue wave 2 within the ongoing gray wave 3 cycle. This phase marks a short-term pullback in the larger bullish context.

With micro wave 1 completed, the current movement in wave 2 reflects a lack of directional conviction, often forming sideways or shallow corrections. This setup is expected to transition into micro wave 3, which would resume the primary trend to the upside.

Traders should watch closely for signs of the correction ending, such as price stabilizing or forming a reversal structure. Since the pair remains within gray wave 3, this counter-trend activity is likely temporary and could present favorable opportunities once confirmation of trend continuation appears.

Technical Analyst: Malik Awais 

More By This Author:

Dogecoin Crypto Price News Today - Monday, July 14
Unlocking ASX Trading Success: BHP Group Ltd. (BHP)
Elliott Wave Technical Forecast: Newmont Corporation - Friday, July 11