Instead of continuing upwards to 1.1350 as expected, the euro witnessed a relatively strong decline to a new weekly low. This signals the very likely end of the most recent correction and the beginning of a new bearish round.
By moving below 1.1232, price should move lower to reach between 1.1226 and 1.1214, while remaining below 1.1290 and ideally below 1.1255.
Hourly Main Count
– Invalidation Point: 1.1290
– Confirmation Point: 1.1232
– Downward Target: 1.1226 – 1.1214
– Wave number: Subminuette v
– Wave structure: Motive
– Wave pattern: Impulse or Ending Diagonal
Elliott Wave chart analysis for the EURUSD for 18th April, 2019. Please click on the charts below to enlarge.
Main Daily Wave Count
This main daily count sees that the euro is moving toward the downside in an impulse labeled black waves (1) to (5).
Black wave (1) is forming a leading diagonal labeled blue waves 1 through 5.
Blue wave 5 is most likely forming a zigzag labeled pink waves a, b and c.
This count expects the euro to continue moving toward the downside in blue wave 5 to complete black wave (1). This would be confirmed by movement below 1.1183.
At 1.1175 blue wave 5 would reach the lowest point of blue wave 3, then at 1.1138 it would reach 78.6% of its length.
This wave count would be invalidated by movement above 1.1447 as pink wave b of this zigzag may not move beyond the start of pink wave a.
Main Hourly Wave Count
This main hourly count sees that pink wave c is likely forming a zigzag labeled green waves (i) through (v).
Green wave (i) is forming an impulse labeled orange waves i through v.
Orange waves i, ii and iii are complete.
Orange wave iv is forming a zigzag labeled violet waves A, B and C. It’s either complete or near completion.
This wave count expects the euro to move toward the downside in orange wave v to complete green wave (i). This would be confirmed by movement below 1.1232.
At 1.1226 orange wave v would reach 61.8% the length of orange wave i, then at 1.1214 it would reach 100% of its length.
This wave count would be invalidated by movement above 1.1290 as orange wave iv of this impulse may not enter the price territory of orange wave i.
Once price moves below our confirmation point, we may lower the invalidation point to the end of orange wave iv, which currently stands at 1.1247.