Daily Wave Analysis for 24 October 2014 2014.10.24
The EURUSD break of the support trend lines (greens) could indicate a completion of wave 4 (orange) at the most recent top (current wave X purple). In most cases however, wave 4’s take longer to compete in terms of time, which is the reason that price could be expanding a correction with WXY (purple).
60 min EURUSD:
The EURUSD did not break below the horizontal support (green) yesterday and might be able to make a rally for wave Y (purple).
GBPUSD
4 hour GBPUSD:
More confirmation is needed before it can be concluded that the GBPUSD has completed wave 4 (red) and one more expanded correction is possible (wave WXY dark red).
60 min GBPUSD:
The entire hourly chart is clearly in a consolidation and the most recent price action is pausing in a wedge (blue and green trend lines).
USDJPY
4 hour USDJPY:
The USDJPY is in a bullish rebound but it would need to break above the resistance lines (orange and red) for a bigger breakout.
60 min USDJPY:
Yesterday’s break of the contracting triangle chart pattern could be part of the impulsive wave 5 (red) of wave 3 (blue).