View: EURUSD: Follow Up of the Long Term EWP | The wave trading

On march 12 I updated the long term time frame scenario with 3 potential EWP

I believe that the bullish Triangle wave (B) option is now the least likely option.

I maintain the Double Zig Zag & the bearish Triangle wave (B) options.

The key issue remains to get the right count of the complex corrective down leg off the May 4 top. The main problem is that the internal structure of this large down leg, even if it is corrective at some point should unfold an impulsive wave (C), but so far in my opinion everything remains corrective.

This problem could be solved if price instead of unfolding an impulsive wave (C) it traces an Ending Diagonal.

Below I show a potential “Ending Diagonal Project”:

If the Ending Diagonal plays out then we should get a positive divergence in the daily RSI:

The assumed wave (V) of the “Ending Diagonal Project” could establish the bottom of either the wave (A) of the Double Zig Zag Option or the wave (D) of the Triangle wave (B) option (if price does not breach the June 2010 low at 1.1874).

1. Double Zig Zag Option:

2. Triangle wave (B) Option: