The corrective decline in wave 2 from the peak of 1.2345 has been way more persistent, than we first expected, but that is often the case with second waves. They are allowed to correct 99.99% of the first wave. In this case we have seen a 93% corrective of wave 1, but it doesn't alter the fact, that the decline only has been a correction and we could easily see a strong rebound from the corrective low at 1.0757.
The first strong indication that wave 2 really has completed is seen upon a break above resistance at 1.1185 that will call for a continuation higher towards 1.1495 and higher. Ultimately we expect wave 3 to continue all the way to 1.3993.
Only an unexpected break below 1.0635 will invalidate our bullish outlook.
