Analysis of wave counting:
The speech by the head of the Fed, J. Yellen, at the symposium in Jackson Hole was pessimistic about the market and at the beginning of the Friday's European session, the pair EUR / USD resumed a fairly dynamic upward movement and reached the level of 1.1940 at the end of the day. The wave situation that formed in this case allows us to assume that as a result of this growth in quotes, the wave c, c, E, (B) assumed the form of an incomplete five-wave structure. If this is the case, then in the process of development of the 5th wave, c, c, E, (B), the currency pair can continue the upward movement at least to the level of 1.1975.
The objectives for the construction of the downward wave:
1.1860 - 127.2% of Fibonacci
1.1771 - 100.0% of Fibonacci
Goals for the construction of the upward wave:
1.1973 - 161.8% of Fibonacci
1.2000
General conclusions and trading recommendations:
The currency pair resumed the construction of the wave (B), thanks to the performance of Janet Yellen. It is now possible to continue increasing quotations within wave 3, 5, c, c, E, (B) with targets located near the calculated mark of 1.1973, which corresponds to 161.8% of Fibonacci. After the completion of the construction of wave 5, 5, c, c, E, (B), an extended downward trend section will again be expected.
