Introduction
Zigzag in favor of the dollar is almost completed for the European currencies. This zigzag is a vivid confirmation of the alternation principle of zigzags (see p. 139-140 of my book). Moreover, its ending is another bifurcation point. On the one hand USD may keep strengthening. On the other hand completed zigzag may turn out to be a launching platform for the new zigzag USD weakening. Such scenarios were described before in Wave Analysis.
1. EUR/USDFor EUR survey wave counting refer to Annual-07, Monthly-0607 and article Check Point, Intermediate Results and Nearest Perspectives. Refer to Figure 1 for the wave counting draft of this currency on 480 min chart.
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Figure 1. Wave counting on 480 min chart.
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The second leg (c) of zigzag [w] is supposed to be forming. 1.3250, 1.3050 and 1.29 are the optimum levels for its completion. Waves (B) and (b) of [w] endings are the critical levels for this variant.
According to the alternate scenario ending of zigzag [xx] is forming. If this variant is confirmed upward wave [z] of Y of (B) will start forming in the nearest future.
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Figure 2. Wave counting on 120 min chart.
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Supposedly, the final wave v is required for impulse (c) to be completed.
2. GBP/USDFor survey wave counting of this currency refer to Annual-07, Monthly-0607 and article Check Point, Intermediate Results and Nearest Perspectives. Refer to Figure 3 for the wave counting draft of this currency on 480 min chart.
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Figure 3. Wave counting on 480 min chart.
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The second leg (c) of zigzag [w] is supposed to be forming. 1.96- and 1.92 are the optimum levels for its completion. Waves (B) and (b) of [w] endings are the critical levels for this variant.
According to the alternate scenario ending of zigzag [xx] has formed. If this variant is confirmed upward wave [z] of Y of (B) is forming.
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Figure 4. Wave counting on 120 min chart.
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Supposedly, the final wave [5] of diagonal triangle v is required for impulse (c) to be completed.
3. USD/JPYFor survey wave counting of this currency refer to Annual-07, Monthly-0607 and article Check Point, Intermediate Results and Nearest Perspectives. Refer to Figure 3 for the wave counting draft of this currency on 480 min chart.
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Figure 5. Wave counting on 480 min chart.
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According to this scenario wave 3 of the diagonal triangle is assuming the shape of the narrow double/triple zigzag. It will be confirmed by further upward price movement in the narrow trend channel.
If the supposition is correct USD progressive strengthening may be expected by the end of June (see Monthly-0607).
In the picture several possible variants of this area marking are given. The sixth wave of correction [vi] is supposed to be completed in the shape of the double zigzag. If the supposition is correct the price should not break the critical level (wave [vi] ending).
According to the alternate scenario wave [v] ending may be forming now.
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Figure 6. Wave counting on 120 min chart.
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Supposedly, the final wave (v) is required for impulse [vii] to be completed.
4. USD/CHFFor CHF survey wave counting refer to Annual-07, Monthly-0607 and article Check Point, Intermediate Results and Nearest Perspectives. Refer to Figure 4 for the wave counting draft of this currency on 480 min chart.
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Figure 7. Wave counting on 480 min chart.
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The second leg (c) of zigzag [w] is supposed to be forming. 1.2550 and 1.28 are the optimum levels for its completion. Waves (B) and (b) of [w] endings are the critical levels for this variant.
According to the alternate scenario the final high of the horizontal triangle [X] is forming (see Figure 5 in Daily-130607). If this variant is confirmed downward wave Y of (B) will start forming in the nearest future.
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Figure 8. Wave counting on 120 min chart.
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Supposedly, the final wave v is required for impulse (c) to be completed.
Note
Given possible trading plans are purely informational purpose only and they should not be considered as trading guides or an invitation to make a transaction.
Reference:
June 15, 2007 When using any part of the article for publication or analytical materials reference to the author and Alpari Ltd. is obligatory
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