It came as a shock to not see dollar gains on Friday. So clearly I hadn’t quite caught the structure but the clue here is in EUR/USD. The rush higher was the lest leg of an expanded flat. It just needs one more push higher before a reversal. That should provide the next low in USD/JPY to complete a zigzag and thus for a move back higher. Whether that means it will then just rally back above 113.21 – and allow for an expanded flat – perhaps.
USD/CHF was another pair that I had to adjust but is now close to a double zigzag. Then the next puzzle is whether we see the trend develop or a final zigzag to form a triple three.
AUD/USD is a little weird but frankly needs a new high – or just direct losses…
As for the cross, EUR/JPY is not in an easy outlook. Perhaps a risk of an expanded flat – but if not a pullback and direct losses when EUR/USD tops out. Even then, EUR/USD needs to form the foundation waves before a stronger move higher in the dollar.