We have gone nowhere since yesterday. Trading in a sideways consolidation, which still leaves room towards the upside, to finish the x-wave 1.6908. However, to confirm a rally towards 1.6908 we need a break above 1.6846. On the other hand, a break below support at 1.6681 will likely mean that the x-wave ended early and the next move lower has begun towards 1.6600 and lower towards our ideal target at 1.6388. That said, we remember that we are looking at this decline as a corrective X-wave and it should be followed by a new substantial rally higher towards 1.9094 once this correction is over.
Trading recommendation:
We are still looking for a possibility to sell EUR at 1.6895 with a stop at 1.7010. If this order is filled, we will place a take profit at 1.6405, making it a nice risk/reward of 4:1.
The material has been provided by InstaForex Company – www.instaforex.com
Today’s support and resistance levels:
R3: 1.6846
R2: 1.6815
R1: 1.6754
Current Spot: 1.6731
S1: 1.6681
S2: 1.6600
S3: 1.6555
Technical overview:
We have gone nowhere since yesterday. Trading in a sideways consolidation, which still leaves room towards the upside, to finish the x-wave 1.6908. However, to confirm a rally towards 1.6908 we need a break above 1.6846. On the other hand, a break below support at 1.6681 will likely mean that the x-wave ended early and the next move lower has begun towards 1.6600 and lower towards our ideal target at 1.6388. That said, we remember that we are looking at this decline as a corrective X-wave and it should be followed by a new substantial rally higher towards 1.9094 once this correction is over.
Trading recommendation:
We are still looking for a possibility to sell EUR at 1.6895 with a stop at 1.7010. If this order is filled, we will place a take profit at 1.6405, making it a nice risk/reward of 4:1.
The material has been provided by InstaForex Company – www.instaforex.com
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