Analysis of wave counting:
Yesterday's ECB decision to keep the bank rate unchanged and to extend the QE program for another nine months provoked a significant weakening of the euro, as well as a fall in the price of the pair EUR / USD by almost 200 pp, to the level of 1.1640. It can be assumed that near the last day's high, the currency pair completed the development of a rather complex wave structure of wave b, (C), having moved to the stage of formation of the future wave C, (C). If this is so, then the currency pair has good prospects for continuing the decline in quotations in the direction of the level of 16th and further, to the 14th figure.
The objectives for the construction of a downward wave:
1.1619 - 61.8% of Fibonacci
1.1500 - 1.1400
The objectives for the construction of an upward wave:
1.1750
General conclusions and trading recommendations:
The construction of a new downward trend segment is continuing. It is now possible to continue the decline in quotes within the wave c, (C) with targets located near the calculated mark of 1.1619, which corresponds to 61.8% of Fibonacci and lower about 15 and 14 figures. Within the framework of constructing a corrective wave in the composition of c, (C), the quotations can be retreated from the reached lows with targets of about 1.1750.
