EUR/USD and USD Index on the decline

February 22, 2017 09:53 AM
Elliott Wave Analysis: EUR/USD & USD Index

The USD is going higher, but not against all the currencies; we see it in a strong bullish mode only against the EUR and CHF at the moment. Well, JPY is also looking weak, but I thought it would be much weaker with current bullish stocks.

On the Euro/U.S. dollar (EUR/USD) currency pair we have seen a nice decline over the last 24 hours which seems to be an impulse in progress with more weakness coming as a recent leg down is most likely an extended red Wave iii), so any bounce will be temporary in Wave iv) which can either see limited upside at 1.0520 or at 1.0555.


EUR/USD, 30-min

As you can see on the USD Index chart, we are looking at the same situation there, now Wave iii) is up, so more upside may follow after a pullback.

USD Index, 1-hour

About the Author

Gregor Horvat, based in Slovenia, has been in the forex markets since 2003. He is a technical analyst and individual trader who has worked for Capital Forex Group and He also is founder of forex services on provides technical analysis of the financial markets, highlighting behavioral patterns based on the Elliott Wave Principle (EWP). Website: