Tuesday, December 11, 2012
Elliott wave analysis of EUR/USD and Gold
Did blue wave 4 end with the test of 1.2877? I think there is a very good chance that this is the case. It's not uncommon that wave 4 will correct towards wave iv of one lessor degree, which in this case meant a correction to 1.2880. The minor rally since the 1.2877 low does look impulsive and I would be looking for a break above 1.3075 as the next clue, that we are moving higher towards 1.3290 and possibly even towards 1.3491.
I think there is a very good chance, that we are ready to take on important resistance in the 1,795 - 1,803 area again. The first clues will be a break above 1,734 and more importantly a break above 1,754, which will confirm a test of important resistance at the 1,795 - 1,803 area. That said we need a break above here to really release the impulsive power for the next move higher towards 2,158.84 and possibly even 2,550.59 and 3,184.70.