EUR/USD Elliott Wave
Since our last analyses the EUR/USD pair has continued trading upwards, so we have changed our primary wave count a little bit. During the Thursday's Asian and European sessions we could observe ascending movement from 1.2941 towards the 1.3005 level. Therefore, during the New York session this major currency has continued trading in a bullish mood and the price has reached a new high at 1.3060 level. We can consider this movement as the end of the corrective wave Y (coloured blue) of the bigger wave (2) (coloured blue). At the moment the EUR/USD pair is trading around 1.2988 area and we expect to see the price lower in the next few sessions. In accordance with our wave rules and taking into account that wave 3 should retrace minimum 100% of wave 1, we can define the potential targets with measuring wave 1 with take profit at 1.2610 (100% of wave 1). To reduce the risk, we can use resistance point at 1.3196 level as stop loss.
Support and Resistance
(S3) 1.2840 (S2) 1.2886 (S1) 1.2967 (PP) 1.3013 (R1) 1.3094 (R2) 1.3140 (R3) 1.3221
Trading forecast
Proceeding from Elliott Wave rules today, the trend is expected to begin the downwards movement. That is why short positions at level 1.2970 with stop loss at 1.3196 and take profit at 1.2610 are recommended.
