When the EURO was making new highs in February 2018 at 1.2550.
The whole financial media was incredibly bullish for a continued rally possibly to new all time highs!
The wave count however was pointing to an entirely different outcome for EURUSD, possibly even a multi year bear market.
Here is the big picture chart I showed at the time of the top.
A large [B] wave corrective rally had just completed,
and the outlook was for a long and painful descent in wave [C].
The Short term charts showed the end of wave 'C' in a five wave pattern as shown below.
And off the top I was counting a five wave decline which signaled that the new wave [C] was now beginning.
Heres the analysis from that time:
Daily MACD and RSI both suggest that this is a major top.
Both have diverged bearishly from the price,
And the price has just broken down through the 200MA on the 4hr chart.
All consistent with the idea of a top in place.The recent decline can be labelled as a five wave structure.
So, wave (ii) should trace out a three wave rally into about 1.2350.
If that happens,
Then the wave count will be in line with the technical setup and the price will be primed for a large selloff.
And here is what has happened since that time:
The market did put in a major top that month in wave [B] and wave [C] began with a bang.
And then EURUSD began a big bear-market decline and is now down 1450 points since that time!
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