19 Jan 2021 ● 01:59 PM
The Euro broke out of the falling channel after falling in 3 waves marked as a-b-c. The bounce-back has gone past the low of wave a thus overlapping with the previous wave. This lowers the odds of an impulsive decline and the best alternative is the bullish outcome of starting a new leg higher in wave 3. A wave 2 of 3 correction is over and 3=1 for this wave is at 1.282. This should also mean that the bear market of the dollar has resumed and it will make new lows as the Euro makes new highs. More evidence from momentum indicators should follow.