EURUSD 60min 6-3-13

Quick Elliott Wave Update on the Euro (EUR/USD) from Sid @ ElliottWavePredictions.com. Click on the chart twice to enlarge.

Today’s burst higher in the Euro does not change the main wave count. Deep wave 2’s are not at all uncommon, and the upward movement from the May 17 low still counts best as corrective. So, in this case, rather than price turning within the typical .382-.618 Fibonacci retracement zone, expectation of the turn has moved to the upper .707 to .786 fibs @ 1.3111 to 1.31462.

Only movement above 1.32418 will require a significant change in the count. For me, the downward movement in the Euro (and with even better clarity, the Pound) from May 1 though May 17 was most likely a non-overlapping five-wave impulse. So, the continued expectations are that 1.32418 will not be taken out to the upside, wave 2 black ended on May 1, and strong downward movement will resume soon in the form of wave 3 of 3 down.

Sid
http://elliottwavepre.wpengine.com

Note added on June 6 at 10:55 AM CDT:  The Euro just blasted through blue 2 invalidation (1.32418) impulsively, so either wave 2 black is still underway, or wave E (black) of the 4 yr. triangle isn’t finished yet.  Amazingly, this occurred very quickly this morning while the stock market sat almost perfectly still.