FX.co ★ Wave analysis of the EUR/USD currency pair for December 14, 2009

Generally, as it was expected on Friday, the EUR/USD currency pair price gave under the major upward trend line. But, it has not touched the estimated target level of 1.4570. Likely, it is possible to consider the fifth wave of the current downward trend almost completed according to which we will probably see a reversal of the market in favor of the US dollar soon. In addition, a break through of the trend’s significant line, usually, does not go in a single step and can bring back the pair to its borders. As a result, at the euro graph ABC waves package has already appeared, each of them also consists of ABC waves because of that it is possible to expect the continuation of the price movement in the sideward trend and the formation of DE waves. Besides, MACD is still located at positive area supposing an opportunity of the euro growth in the future.

Best regards,
analyst: Alexander Dneprovskiy.