EUR/USD Elliott Wave
Since our last analyses the EUR/USD pair has been trading upwards, so we have changed our primary wave count a little bit. Yesterday, during the Asian and European sessions we could observe ascending movement from 1.2822 towards the 1.2903 level.Therefore, during the New York session this major pair has continued trading in a bullish mood and the price has reached a new daily high at 1.2956 level. At the moment the EUR/USD pair is trading around 1.2961 and we are expecting to see pullback today when development of the final wave (5) (coloured green) starts. In accordance to our wave rules and taking into account that wave 5 should retrace minimum 61.8% of wave 3, we can define the potential targets with measuring wave 3 with take profit at 1.2716 (61.8% of wave 3). To reduce the risk, we can use invalidation point at 1.2997 level as stop loss.
Support and Resistance
(S3) 1.2715 (S2) 1.2768 (S1) 1.2850 (PP) 1.2903 (R1) 1.2985 (R2) 1.3038 (R3) 1.3120
Trading forecast
Proceeding from Elliott Wave rules today, the trend is expected to begin the downwards movement. That is why short positions at level 1.2935 with stop loss at 1.2997 and take profit at 1.2716 are recommended.
