EUR/USD – Elliot Wave analysis suggests first target reached says Goldman Sachs
(Note: this is from late last week – not from 26 Jan as my tweet said … fat finger there sorry)
More from Goldman Sachs, this time an Elliot Wave look at EUR/USD.
I’m not much (none) of an Elliot Wave person, but here is what GS are saying:
61.8% retrace of the Oct. ‘00/Jul. ’08 rally comes in at 1.1238
- It’s in some way the first major target for EURUSD, particularly from an Elliott Wave perspective, as it could theoretically complete/ satisfy the multi-year ABC correction that began back in ’08. It’s certainly possible to extend this C-leg, but sensibly speaking, it’s really important now more than ever to watch for signs of momentum loss
- In terms of what’s next below 1.12, naturally 1.10 is going to be psychologically significant. Besides that, there’s really nothing which stands out as being particularly strong until ~1.0286-1.0103. While that might sound extreme, it’s clearly an important pivot from a pure techs perspective as it includes an ABC from the ‘08 high and also 76.4% retrace from ’01 (while still fitting with the LT wave count). All in all, it’s clear this trend could eventually extend much further
And, the chart: