Analysis of wave counting:
At the beginning of yesterday's European session, the currency pair EUR / USD continued the upward movement that began on Friday, adding more than 60 percentage points in price and it was fixed above the level of the 23rd figure at the end of the day. It can be assumed that the currency was in the stage of formation of the wave b, c, a, B, (C), which by the close of the American session took a completely completed form. If this is so, and wave b, c, a, B, (C) will not take an even more complicated form, then from the high already reached yesterday, the currency pair will resume the decline of quotations, thus denoting the beginning of the future wave c, c, a, B, (C).
The objectives for building a downward wave:
1.2204 - 161.8% of Fibonacci
The objectives for building an upward wave:
1.2315 - 38.2% of Fibonacci
1.2345 - 50.0% of Fibonacci
General conclusions and trading recommendations:
The wave counting on the instrument involves the construction of a downward trend section. Now, the quotations are expected to increase within wave b, c, a, B, (C) with targets near the estimated marks of 1.2315 and 1.2345, which corresponds to 38.2% and 50.0% of Fibonacci. After the completion of the construction of this wave, the decline in quotations may resume with targets below 22 figures. An unsuccessful attempt to break the mark of 1.2315 may lead to the withdrawal of quotations from the maximum reached.
