Today's Support and Resistance levels:
R3: 135.60
R2: 135.20
R1: 134.94
Current Spot: 134.41
S1: 134.20
S2: 134.05
S3: 133.87
Technical summary:
Red wave 3 is still developing; for the short term we should expect support at 134.05 and may be a slightly lower support at 133.87 to protect the downside for a rally higher towards 135.20 and 135.60 before red wave iii is in place and yet the other minor correction in red wave iv.
For the long-term picture we are looking for black wave iii to end near 137.45 before black wave iv is expected to take over. As black wave ii was a simple and deep correction, we should expect black wave iv to be a shallow and complex correction, due to Elliott's principle of alternation.
Trading recommendation:
Stay long EUR from 132.60 and move stop higher to 132.90 leaving you a profit no matter what happens. If you are not long EUR yet, then buy close to 134.05 with the same stop at 132.90.
