EURO/DOLLAR-EUR/USD has been trading since March 2015 what seems to be a very possible Descending Channel and a Complex Corrective ABCDE Structure which is very common for a Wave 4 in Elliott Wave Analysis.

Recent comments on monetary policy from Mario Draghi (ECB President) pushed EURO/DOLLAR-EUR/USD towards new yearly highs which is exactly what was needed in order to have the last piece of the puzzle for the possible Wave Count.

If we take a look at the Weekly Chart we can spot what seems to be a Complex WXY Bearish Corrective Super-Cycle (orange).

By zooming into the Daily Chart we can see that EURO/DOLLAR-EUR/USD is probably painting an Elliott Wave Sell Set-Up which would be very attractive for Bears.

Complex Descending Channel Structure:

The Chart Labeling states that the Descending Channel is unfolding under a Complex ABCDE Structure (red), under the Primary scale.
Each Primary Wave (red) is labelled with a 3 Wave Sequence under the sub-waves and Intermediate scale WXY (orange). The Intermediate Waves (orange) are also sub-divided with ABC Minor Waves (light blue).

Obviously the focus now would be on Primary Wave E (red) which seems to have unfolded with a Running Flat in Intermediate (X) (orange) and an Extension in Intermediate (Y) (orange).
According to the Wave Count, EURO/DOLLAR-EUR/USD is possibly and finally showing an end to the Corrective Cycle IV (light blue), leaving room for the Bearish Cycle to possibly continue and finalize the last leg, Cycle V (light blue).

Intermediate (Y) (orange) Fibonacci & Measurements:

• Minor 3 (light blue) ends at the 100% Fibonacci Extensions of Minor 1 & 2 (light blue).
• Minor 5’s end is projected with the 61.8-100% Fibonacci Extensions of Minor 3 & 4 (light blue).

*The current Wave Count is stating that Minor % (light blue) still has a bit more room upwards in order to complete its Cycle and sub-waves.

EURO/DOLLAR-EUR/USD – Long-Term SELL Positions:

Aggressive – 1.14500
SL – 1.17000

Moderate – 1.15500
SL – 1.18000

TP 1 – 1.07500 & 1.03000

TP 2 – 1.00000 & 0.95000

*Safety measures:

– Look for confirmation coming from a Bearish Divergence at the end of Minor 5 (light blue).
– Moving SL at break-even or in the green