EUR/USD, H4 time frame:
Let's continue to analyze and trade the EUR/USD pair.
A horizontal correctional wave 4 is being constructed for the EUR/USD pair in the long term, which takes the form of a wave plane [A]-[B]-[C].
The structure of the last wave [C] is considered at a smaller wave level. It is a simple impulse, in which the sub-waves (1)-(2)-(3)-(4) are completed. In the near future, the development of (5) is expected to continue in the direction of the level of 1.1673. The level is determined using a tool – the Fibonacci line. At this level, the magnitude of wave 4 will be 61.8% of wave 3.
Today, two important news will be released in the United States that may affect the market. First, America is expected to publish its basic consumer price index (CPI) (m/m) at 12:30 Universal time. Second, a report on crude oil reserves in the United States will be published at 14:30 Universal time.
Trading recommendation:
It is recommended to consider opening sell deals in order to take profit at the level of 1.1673.
