Wave counting analysis:
On Monday trading, February 4, it ended with a slight decline for the EUR/USD pair by 15 bp. Thus, the current wave counting maintains its integrity and implies the construction of a downward wave 3 within the framework of a new downtrend trend. If the current version is not correct but an alternative version is being developed with a three wave structure, which we have seen several times before, I still expect the instrument to decline to the level of 1.1290. The news background is not strong now. Several indices of business activity in various fields from Europe and America, which will be released today, are unlikely to break or significantly change the current wave counting.
Sales targets:
1,1289 - 0.0% Fibonacci
1.1215 - 0.0% Fibonacci
Purchase targets:
1.1502 - 76.4% Fibonacci
1.1569 - 100.0% Fibonacci
General conclusions and trading recommendations:
Presumably, the pair moved to the construction of a downward wave of 3. Thus, I still recommend now selling the instrument with targets located near the marks of 1,1289 and 1.1215, which equals 0.0% and 0.0% Fibonacci. The 50.0% level on the higher Fibonacci grid is the first reference for both wave 2 and for all further development of the downward trend segment. Above it, you can place protective orders.
