Forecast for January 16th, 2017
EUR USD, “Euro vs US Dollar”
It looks like after finishing the descending wedge in the wave 1, the EUR/USD pair completed the zigzag in the wave 2. As a result, in the nearest future the market has to form the descending impulse in order to confirm a new decline.
At the H1 chart, after completing the ascending impulse in the wave [c] of 2, the pair probably formed the descending wedge in the wave (i). Consequently, on Monday the local correction may start, which may later be followed by another decline in the wave (iii) of [i].
GBP USD, “Great Britain Pound vs US Dollar”
In case of the GBP/USD pair is about to completed the third wave in the wave (v) of [v], which is taking the form of the diagonal triangle. On Monday, the price may be corrected. Later, the market may resume falling in the wave v of (v) and break the local low.
More detailed structure is shown on the H1 chart. It looks like the price is about to finish the bearish impulse [C] in the zigzag iii. As a result, during the day the market may be corrected in the iv of (v).
USD JPY, “US Dollar vs Japanese Yen”
At the H4 chart, the USD/JPY pair is still forming the wave 2 in the form of the zigzag. Earlier, the price completed the long bullish impulse in the wave 1. On a shorter timeframe, the market may continue forming the diagonal triangle in the wave [c] of 2.
More detailed structure is shown on the H1 chart. It’s highly likely that the pair is finishing the fifth wave in the diagonal triangle. To start a new correction, the market has to rebound from the pattern’s downside border and form another bullish impulse.
AUD USD, “Australian Dollar vs US Dollar”
Probably, the AUD/USD pair finished the descending zigzag in the wave [i] of the diagonal triangle in the wave 5. Right now, the price is completing the wave [ii] in the form of the double zigzag and may soon resume moving downwards.
As we can see at the H1 chart, the pair is finishing the bullish impulse in the wave c of (y). On Monday, the price may reach a new local high. To confirm a new decline, the market has to form another descending impulse.
RoboForex Analytical Department