US Dollar Price Action Becoming Increasingly Indecisive 2015.10.30

EUR/USD

4 hour

The EUR/USD downtrend has until now only reached the 100% Fibonacci target level and has not seen a substantial bearish impulse as yet, which increases the chance of an ABC (green) developing rather than a 123 (green).

1 hour

The EUR/USD is making another bear flag chart pattern (green lines), which is a typical formation for a wave 4. The invalidation level remains the 50% Fib and trend line (red).

GBP/USD

4 hour

The GBP/USD downtrend has been very slow in starting and showing hesitation. The invalidation level of the current wave 1 & 2 (pink) is the origin of wave 1 (grey line). If price does not see a bigger acceleration for waves 3, then the chances of an ABC (purple) unfolding increase.

1 hour

The GBP/USD structure has been changed to show an ending triangle for a wave 5 (green) within wave 1 (pink). A bullish ABC (green) is developing and challenging the currency resistance trend line (orange).

USD/JPY

4 hour

The USD/JPY price action remains trapped between support and resistance and price is now retesting the top of the sideways zone. The wave structure is showing that price can stay between these levels for another wave X and Y (brown).

1 hour

The USD/JPY completed two zigzags yesterday (orange and green), which did not break the 127.2% Fibonacci level and therefore the wave count has remained a wave B (blue). A break of support could indicate the start of a wave C (blue) whereas the break of the highest Fib level invalidates the wave count.