I thought we would move into the 1.1108-91 area in the EUR/USD. However, what then occurred was a deeper pullback. Very clearly, we have been tricked by a 5-wave decline. We should see a new high after the open and then see losses resume – just a broad swinging move but the lower degrees tend to trick in these cases.
Even USD/JPY triggered a deeper decline. I had thought that the 109.02 was the Wave v. However, the deep pullback was an aberration to form a Wave iv and now we have probably seen the low – but should hold above 108.08. Therefore, we should be heading higher.
USD/CHF still has further losses to go but only for the Wave v. This should then see gains resume. GBP/USD appears to have formed a Wave ii after an expanded flat. Ideally, we should losses.
I suspect we have seen the low in EUR/JPY but it may be prudent to allow a margin below. However, even then, while USD/JPY can see some decent gains, the limited follow-through higher will then see losses in EUR/USD so I’m looking at a potential consolidation.
Finally, the Aussie actually broke higher and needs to reach a Wave iii, a pullback in Wave iv and then a final Wave v. From there we should begin to see losses.