Today's Support and Resistance Levels:
S1: 1.5813 R1: 1.5886
S2: 1.5766 R2: 1.5939
S3: 1.5740 R3: 1.5988
Technical Overview:
The correction from the 1.6218 high has become deeper than it was expected, as we are looking at series of zig-zag corrections. As it can be seen on the chart we have already corrected 50% of red wave i and it seems as we need a correction towards the 61% retracement target at 1.5740 before we can expect the next rally higher in red wave iii of iii. That said, a break above resistance at 1.5988 will confirm that the correction from 1.6218 is over and red wave iii is under way towards 1.6218 as its first target, but longer term we will be looking for rally to at least 1.6515 and probably higher as red wave iii develops.
Trading Recommendation:
We will buy EUR at 1.5755 or upon a break above 1.5988 (one order done cancels the other).
