By Orbex
The current EURUSD formation suggests the construction of a cycle double zigzag that consists of sub-waves w-x-y.
On the 1H timeframe, we can see the final part of the bearish intervening wave x of the cycle degree. This takes the form of a double (W)-(X)-(Y) zigzag of the intermediate degree.
At the time of writing, the final actionary wave Ⓨ is under construction. This is also similar to a double (W)-(X)-(Y) zigzag of the intermediate degree.
It seems that at the moment the market is close to the completion of the minor intervening wave x. This can take the form of a simple minute zigzag.
Free Reports:
Get our Weekly Commitment of Traders Reports - See where the biggest traders (Hedge Funds and Commercial Hedgers) are positioned in the futures markets on a weekly basis.
Sign Up for Our Stock Market Newsletter – Get updated on News, Charts & Rankings of Public Companies when you join our Stocks Newsletter
Soon, after the full end of wave x, the currency pair could begin to decrease and move in a downward direction in wave Z to 1.088. At that level, wave Z will be at 100% of wave Y.
The alternative scenario assumes that the large intervening wave x is already fully completed.
The last wave Ⓨ looks like a harmonious double zigzag (W)-(X)-(Y) of the intermediate degree marked with blue sub-waves.
Thus, in the last section of the chart, we can see the initial part of the actionary wave y of the cycle degree. Perhaps it will have the form of a primary double zigzag Ⓦ-Ⓧ-Ⓨ, as shown on the chart.
The first actionary wave Ⓦ is likely to rise in a zigzag shape to the previous maximum of 1.169. This will be on the same level as the minor intervening wave X.
Article by Orbex
Orbex is a fully licensed broker that was established in 2011. Founded with a mission to serve its traders responsibly and provides traders with access to the world’s largest and most liquid financial markets. www.orbex.com
- The ceasefire between Israel and Lebanon has reduced the geopolitical premium Jun 5, 2026
- EUR/USD: All Eyes on Non-Farm Payrolls Jun 5, 2026
- The escalation of the conflict in the Middle East put pressure on US and European stock indices Jun 4, 2026
- Gold Remains Under Pressure, but a Rebound Is Still Possible Jun 4, 2026
- Bitcoin drops below the psychological $70,000 level. The US stock indices hit new record highs Jun 3, 2026
- EUR/USD on Edge as Markets Await Key Employment Data Jun 3, 2026
- Oil prices surged again amid rumors of a freeze in diplomacy between the United States and Iran Jun 2, 2026
- GBP/USD in a State of Uncertainty: Risks Remain, but Market Reactions Are Muted Jun 2, 2026
- The US stock indices once again finished the trading session at new all‑time highs Jun 1, 2026
- USD/JPY Approaches 160.00: Is Another Intervention Coming? Jun 1, 2026
