The sharp and extended fall through the 2012 support line with a monthly price close beneath it suggests that EUR/USD will extend much deeper in 2013
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In fact, on the line chart we can see that the decline is very clean and directional. The move can be counted impulsively, which is bearish sign for the pair, but we expect a three wave bounce back to 1.3150 -1.3250 in the next few days, before the downtrend extends.
The reason for a possible top in place on EURUSD is also German Bund market. For a more detailed Elliott wave video analysis on this, please check the video below.
VIDEO EURUSD vs. German Bund:
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