FX.co ★ Elliott wave analysis of EUR/USD for October 11, 2022

EUR/USD has broken back below support at 0.9734 indicating that the rally to 0.9999 was only corrective and a new test of the low at 0.9535 should be expected. We should even see a move slightly below 0.9535 towards 0.9507 to complete the corrective decline we have seen from 1.6038.

At this point, only a direct break above resistance at 0.9999 will ease the downside pressure and indicate that a corrective bottom is in place and a new impulsive rally is unfolding.