Trading plan for EUR/USD and GBP/USD for May 15, 2017
May 15, 2017 1:58 pm
Technical outlook:
The story continues from where we left last week where a counter trend rally was on cards. It materialized last Thursday, accelerated on Friday and looks to be terminating today. Longs positions, if taken should be done with profit bookings and trading should be on the short side now. The wave count also suggests that the earlier drop from 1.1022 through 1.0840 levels was wave (1), followed by a 3 wave counter trend rally A-B-C labelled as wave (2). If this wave count holds to be true, the next leg wave (3) should resume in a few hours and drag prices down towards 1.0580 levels at least as first leg. Further drop should take it towards parity levels easily. Please also note that prices have stalled at fibonacci 0.786 resistance levels and a bearish turn here is on cards.
Trading plan:
Please book profits on long positions if taken last week. Remain short from current price, with stop above 1.1022 levels targeting at least 1.0580 levels. Should reach there this week or early next week.
GBPUSD chart setups:
Technical outlook:
The GBP/USD pair also looks to have completed its counter trend rally with today’s highs hitting over 1.2940 levels, just like EURUSD potential top. The wave count also suggests that earlier drop from close to 1.2988 through 1.2838 levels was an impulse, labelled as wave (1), while the rally henceforth has unfolded into 3 waves, corrective A-B-C, which is labelled as potential wave (2). An alternate count could be wave (2) hitting another lower high around fibonacci 0.786 levels as depicted here. Till the time prices remain below 1.2988 levels, the GBPUSD bears should look forward to regain control back. Immediate resistance is seen at 1.2950 levels while support is at 1.2840 levels respectively. Traders should be looking to sell here and on rallies through 1.2960/70 levels.
Trading plan:
Remain short with risk above 1.3000 levels, targeting much lower around 1.2500 and 1.2000 levels.
Fundamental outlook:
With no majr events today, trading should remain without much volatility. Look forward to the key reports releases lined up for tomorrow.
Good luck!
The material has been provided by InstaForex Company – www.instaforex.com Source: Instaforex.com
Technical outlook:
The story continues from where we left last week where a counter trend rally was on cards. It materialized last Thursday, accelerated on Friday and looks to be terminating today. Longs positions, if taken should be done with profit bookings and trading should be on the short side now. The wave count also suggests that the earlier drop from 1.1022 through 1.0840 levels was wave (1), followed by a 3 wave counter trend rally A-B-C labelled as wave (2). If this wave count holds to be true, the next leg wave (3) should resume in a few hours and drag prices down towards 1.0580 levels at least as first leg. Further drop should take it towards parity levels easily. Please also note that prices have stalled at fibonacci 0.786 resistance levels and a bearish turn here is on cards.
Trading plan:
Please book profits on long positions if taken last week. Remain short from current price, with stop above 1.1022 levels targeting at least 1.0580 levels. Should reach there this week or early next week.
GBPUSD chart setups:
Technical outlook:
The GBP/USD pair also looks to have completed its counter trend rally with today’s highs hitting over 1.2940 levels, just like EURUSD potential top. The wave count also suggests that earlier drop from close to 1.2988 through 1.2838 levels was an impulse, labelled as wave (1), while the rally henceforth has unfolded into 3 waves, corrective A-B-C, which is labelled as potential wave (2). An alternate count could be wave (2) hitting another lower high around fibonacci 0.786 levels as depicted here. Till the time prices remain below 1.2988 levels, the GBPUSD bears should look forward to regain control back. Immediate resistance is seen at 1.2950 levels while support is at 1.2840 levels respectively. Traders should be looking to sell here and on rallies through 1.2960/70 levels.
Trading plan:
Remain short with risk above 1.3000 levels, targeting much lower around 1.2500 and 1.2000 levels.
Fundamental outlook:
With no majr events today, trading should remain without much volatility. Look forward to the key reports releases lined up for tomorrow.
Good luck!
The material has been provided by InstaForex Company – www.instaforex.com
Source: Instaforex.com
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