Is EURUSD Reversal Confirmed?

٣١ أغسطس ٢٠٢٣

I present the following simple technical analysis and see whether you also agree that the EURUSD reversal is confirmed.

The market has turned away from the Support Line A1 A2 formed since Mac 2023.

The recent price action formed a minor support line B1 and B2 and the current price is well above the said support line.

X1 and X2 is Resistance line that can be constructed since July 2023, which was a downtrend resistance line. And the current price action has broken the resistance line, heading towards F1 the Fibonancci 38.2% and F2 61.8% retracement.

Andrew

٢ سبتمبر ٢٠٢٣

ملاحظة

One day later, the market turned bearish and pushed the price down to same level as B1, with high volume.

Will the green line A1 and A2 acts as Support Line to ?

By judgint the price pattern within B1 F1 X2, I see as a complete Elliott Impulse and Corrective Wave pattern and I propose that is the end of the market downtrend and by Monday the price will start advancing.

Hence it is just a difficult starting point for the Reversal to take place.

٢ سبتمبر ٢٠٢٣

ملاحظة

However when we analyse on a larger timeframe e.g. Daily, we see another possibility or scenario, that the major downtrend may still continue.

This indicates the fact that trader should adapt an open mind to see different scenarios and monitor more closely whether the major downtrend will continue or reversal takes its course.