Is Wave [iv]’s maddening triangle pattern finally complete? Did we see a near-term reversal pattern on Friday? We are working from the premise of yes and yes; and it is why we got long EUR/USD. Targeting down to at least 87.27 in Wave [v].
We were thinking Wave [iv] of a narrowing triangle pattern was complete, but it seems there is more to go. But, this is a very complex correction to confidence on exactly how this plays out is murky still. Either way we do believe this move down targets to at least 103.39 in a final Wave [v] of 5 of (1); after that a multi-month rally should resume.
Working off the premise that wave [iv] complex triangle pattern is complete with
the bullish engulfing reversal pattern on Friday. (Note last two recent bullish
engulfing patterns spiked out short-term bottom—each followed by an approximate 300 pip bounce.) We have revised our price target to 1.2623 based on confluence extension of Wave [i] by 1.618 and Wave [v] equality with Wave —both carry exactly to 1.2623 (our minimum target). There is scope to go higher: targets above 1.2623 are 1.2779; then 1.2876.
It appears minor Wave [ii] correction lower (three waves) to 1.3963 is completes. Looking for a minor fivewave rally to complete  of 5 of (5); targeting to at least 1.4579 before a sharp correction lower.
Another zig zag pattern seems in play here- A-B-C targeting eventually to 1.3424 to complete major wave (C) of . But in the meantime, we are expecting a push down to 1.2496-level in minor [c] to complete Wave B. Note the head and shoulders setup in this chart; the neckline was broken today and the price target of 1.2496 is based on the that pattern.
Aussie has been ratcheting higher in a large diagonal pattern labeled - (starting
from the 0.6824 low back in January 2016); presently expecting a completion of a zig
zag higher (A)-(B)-(C) to 0.8278, thus completing larger Wave  of the diagonal
and representing a major top I. Wave (B) of appears to have one more minor push lower
to complete the [e] of C of (B) wave before a sharp rally back toward 0.8200. Looking for
a near-term reversal pattern soon as an opportunity to get long.