The number of initial applications for unemployment benefits in the United States is expected to be published today at 13:30 Universal time.
EUR/USD, H4 timeframe:
The formation of a triple zigzag can be seen on the EUR/USD pair, which includes the middle part, namely, wave Y. This wave takes a zigzag shape and consists of sub-waves [A]-[B]-[C]. At the moment, sub-waves [A] and [B] have been completely done, while the last wave [C] is still in under development.
Judging by the initial part of wave [C], it takes the form of a simple impulse, which will consist of sub-waves (1)-(2)-(3)-(4)-(5). Sub-wave (1) was already completed, which took the form of a five-wave impulse 1-2-3-4-5. The upward correctional wave (2) in the form of a simple zigzag A-B-C is also fully constructed.
Now, an impulse wave (3) is being formed. Two parts are needed to complete this - correction 4 and impulse 5. It is assumed that the price will finish building wave 4 anytime soon, followed by the development of wave 5. Here, it may decline to the level of 1.1140.
The level is determined using the Fibonacci lines, the magnitude of wave 5 at this level will be 50% of wave 3.
Currently, opening sell deals can be considered.
Trading recommendation:
It is recommended to sell from the current level and take profit at 1.1140.
