EUR/USD Elliott Wave Since our last analyses the EUR/USD pair has been trading downwards, impulsive wave 1 (coloured blue) of the bigger wave (5) (coloured green) has been developing. Yesterday, during the Asian and European sessions we could observe ascending movement from 1.2903 towards the 1.2997 level and we can consider this move as the end of the corrective wave (4) (coloured green). Therefore, during the early New York session this major pair did not manage to hold this levels and the price has dropped to the new daily low at 1.2834. At the moment the EUR/USD pair is trading around 1.2895 and we expect to see the price lower in the next few sessions. In accordance with our wave rules and taking into account that wave 5 should retrace minimum 61.8% of wave 3, we can define the potential targets with measuring wave 3 with take profit at 1.2716 (61.8% of wave 3). To reduce the risk, we can use invalidation point at 1.2997 level as stop loss. Support and Resistance (S3) 1.2631 (S2) 1.2732 (S1) 1.2795 (PP) 1.2896 (R1) 1.2959 (R2) 1.3060 (R3) 1.3123 Trading forecast Proceeding from Elliott Wave rules today, the trend is expected to begin the downwards movement. That is why short positions at level 1.2885 with stop loss at 1.2997 and take profit at 1.2716 are recommended.
The material has been provided by InstaForex Company – www.instaforex.com
EUR/USD Elliott Wave
Since our last analyses the EUR/USD pair has been trading downwards, impulsive wave 1 (coloured blue) of the bigger wave (5) (coloured green) has been developing. Yesterday, during the Asian and European sessions we could observe ascending movement from 1.2903 towards the 1.2997 level and we can consider this move as the end of the corrective wave (4) (coloured green). Therefore, during the early New York session this major pair did not manage to hold this levels and the price has dropped to the new daily low at 1.2834. At the moment the EUR/USD pair is trading around 1.2895 and we expect to see the price lower in the next few sessions. In accordance with our wave rules and taking into account that wave 5 should retrace minimum 61.8% of wave 3, we can define the potential targets with measuring wave 3 with take profit at 1.2716 (61.8% of wave 3). To reduce the risk, we can use invalidation point at 1.2997 level as stop loss.
Support and Resistance
(S3) 1.2631 (S2) 1.2732 (S1) 1.2795 (PP) 1.2896 (R1) 1.2959 (R2) 1.3060 (R3) 1.3123
Trading forecast
Proceeding from Elliott Wave rules today, the trend is expected to begin the downwards movement. That is why short positions at level 1.2885 with stop loss at 1.2997 and take profit at 1.2716 are recommended.
The material has been provided by InstaForex Company – www.instaforex.com
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