The following presents our weekly Elliott wave analysis and forecasts for 6th to 10th March trading week. We will cover some of the major pairs. Based on 6-10 March Weekly Elliott wave analysis, what should we expect next week for EURUSD, GBPUSD, NZDUSD and USDCAD?
03 March, AtoZForex -Next week will witness some big events in the currency market. ECB press conference in the euro zone, employment data from U.S and Canada, manufacturing data from great Britain . There will be some good movements like we had this week. Let’s look at the technical expectations based on the Elliott wave theory.
6-10 March Weekly Elliott wave analysis: EURUSD
Will there be a rally?
In the last update posted earlier today, we had two scenarios- one bullish and other bearish. We used the chart below.
A clear triple bottom for the second scenario means that a break above 1.0574 should trigger more bullish move toward 1.071, otherwise the first scenario could hold. At the time of writing, EURUSD shows strong bullish move. This has given the second scenario a upper hand. A rally above 1.0574 can’t be ignored.
6-10 March Weekly Elliott wave analysis: GBPUSD
A bullish setup?
On 1st March, we posted an update expecting Cable at 1.2200 after we forecast a zigzag correction. The chart below shows the zigzag pattern completed at an important zone. There could be a rally next week and the subsequent weeks.
This is a bullish setup for the Cable. There is a very high likelihood that this currency pair will rally next week. A fast break above 1.2306 will be a good confirmation. We could see strong rallies to 1.28 and above in this month. Next week should be dominated by bullish drives unless a strong break below 1.2200 happens.
6-10 March Weekly Elliott wave analysis: NZDUSD
A rally move?
We saw price dipped very fast this week after a flat pattern completed as the wave (b) of a large correction on the hourly charts. Price should rally after completing the (c) leg. Seems the (c) leg has completed as shown below.
In the last intraday updated, we recommended waiting for a pull back before riding a deep wave down to 0.7 price region.
At the end of the pullback, short opportunity should be hunted as price will most likely dip further to 0.7003. This pattern will be invalid above 0.7248.
Price dipped as expected. What will happen next from here?. A strong rally? Traders can look for reversal signals like divergence, double bottom or candlestick pattern to confirm the bullish move. A fast dip below 0.7 won’t be good for the bulls.
6-10 March Weekly Elliott wave analysis: USDCAD
has the rally ended?
The rally after price broke out of the leading diagonal was so strong. The patient traders should be smiling with their decisions to hold on to the bulls. How long will the bullish move last?. There may be some sort of bearish move next week. The minimum is a bearish pullback. There could also be a total bearish return.
The chart above shows the strong bullish momentum overshooting our ultimate target at 1.3375. A break below 1.3365 should be the minimum requirement for bearish take-over or a bearish correction. This will be seen next week unless price keeps above 1.3365.
What do you think of our weekly Elliott wave analysis and trade setups? Comment your observations below.