According to Elliott Wave Theory, concerning the EUR/USD pair, we observe the formation of correction (B), which takes the form of a double zigzag W-X-Y. Two of its parts have already been completed, namely sub-waves W-X. The ongoing upward wave Y is currently in the development process.
We can note that wave Y consists of three parts, namely sub-waves [W]-[X]-[Y]. The ongoing sub-wave [W] took the form of a double zigzag (W)-(X)-(Y). Then, the price dropped down in the connecting wave [X]. As of writing this forecast, the bullish ongoing wave [Y] may be in the development process, which will take the form of a standard zigzag (A)-(B)-(C).
Presumably, last Friday, the price moved down as part of the corrective leg within the bullish impulse wave (A). Thus, in the near future, we expect an upward movement in the final part of the impulse (A). There is a high probability that (A) will end at the high level of 1.102, marked by sub-wave [W].
In the current situation, opening small long positions with the target of taking profit at the specified level of 1.102 can be considered.
It is worth paying attention to economic news that may affect market behavior. In the Eurozone, report on Consumer Price Index will be published. In the United States, the number of issued building permits is considered important news.
Trading recommendations: Buy at 1.091, take profit at 1.102.
