FX.co ★ Elliott wave analysis of EUR/USD for October 16, 2023

If the decline from 1.0640 was a correction, then we should see EUR/USD rally above minor resistance at 1.0559 soon and likely above resistance at 1.0600 without problems too. That said we do see a clear risk for minor resistance at 1.0559, rejecting any attempt to break above for a final dip to test support at 1.0436. In that case, we will see a break below support at 1.0482 as a warning that the test of 1.0436 is unfolding, but once support at 1.0436 has been tested, we should see EUR/USD turn higher again as the wave takes over for a rally towards 1.2085 and likely above.