FX.co ★ Wave analysis of EUR/USD for October 20, 2021

EURUSD, H4:

The market is likely to be at the beginning of a major upward trend. Presumably, the formation of corrective wave 4 was completed, which took the form of a simple wave plane [A]-[B]-[C]. Wave [C] of this plane is a bearish impulse consisting of waves (1)-(2)-(3)-(4)-(5).

After the completion of the development of the last part of the impulse wave [C], that is, the bearish impulse (5). We saw a reversal in the market and the beginning of a new bullish wave. Within this bullish wave, waves 1-2 and waves [1]-[2] of a lower wave level were built.

The market may soon rise in a new bullish impulse of a smaller wave level towards the target area of 1.174 and above. Thus, in the current situation, it is possible to open long positions from the current level with the target at 1.174.

Trading solutions: Buy from the current level. Take profit 1.174