I think Eur-Usd is a bit in a prison in here and todays action does not change much about it, it just blew out one more upwave without able to breake anything key important, stopped right there with 1.3340 slightly above of this log channel again and fib boys sold it immediately with overbought oscillators. While latests downside movement left ABC flat, todays action up including yesterday was more like a WXY wave.
No predict anything at all, just trade the waves. Which is missing from these charts is latest upwave, but it´s likely going to sold again, if not tomorrow, then next week – so game between these ZigZags scenarios just proceed and keep going until something much more important occures & patterns ends. If it´s going to take new low later, it should not go deeper as 76.8% area where it would be extremely bullish again.
Some day these ZigZag´s ends and then we just go, when it happens I have no clue, but this is short now and anything inside on there is tradable if both waves fits, oscillators confirm or pattern appears (btw. I missed that latest HS pattern, can´t see everything).
Let´s assume SPX would be able to get throw that fib 875 roof, where it would go – to 890 to fall again ?
With that setup, FX side would run propably just next upper fib level, find roof from there, build complex correction and fall again….so, I call it sideways, you just need to see where different possible scenarios waves fit together. Eur-Usd plays now with 23.6% fib bottom, but would not bet it´s still there on next week, everything changes so quickly in here ie. we build smalll bearish wedge today. 1.3175 as 38.2% is possible X wave for bullish scenario.
I thought first I found something big today with top price, but found my own error with 1.3340 and 1.3440 ;). So, I suppose it´s just regular bearish in here, nothing dramatic or new in the channel prison.