Break above resistance needed to see upside for EURUSD

FOLLOWING its inception in 1999, the euro fell below parity against the US dollar. Between 2000 and 2002, EURUSD attempted to rebound off its lows from the 0.8500 region but failed to clear above 0.9500.

From Elliott Wave Theory perspective, it formed wave I and II of the cycle phase for EURUSD, with wave II's corrective phase ending in early 2002.

The subsequent strong upward price movement until late 2003 formed wave III before the corrective wave IV took over, forming an expanded corrective flat. The last of the motive waves, wave V, travelled almost the length of wave III to reach an all-time high near 1.6000 in 2008.