Today's Support and Resistance levels:
R3: 1.6594
R2: 1.6521
R1: 1.6499
Current spot: 1.6419
S1: 1.6403
S2: 1.6359
S3: 1.6324
Technical summary:
The correction from 1.6214 has become a more complex double zig-zag correction, with the first zig-zag (w) from 1.6214 to 1.6417 followed by an x-wave down to 1.6272 and then the second zig-zag correction (y) to 1.6499. We will likely see a new impulsive decline from 1.6499, which a break below 1.6403 and more importantly a break below 1.6359 will confirm a decline towards 1.6129 and maybe even 1.6049 in wave (v) and iii.
in longer-term we are looking for the ongoing wave C to end at 1.5793.
Trading recommendation:
We are short in EUR from 1.6405 with stop placed at 1.6580. Upon a break below 1.6359 we will move our stop lower. If you are not short in EUR yet, then sell here or upon a break below 1.6359 with the same stop at 1.6580.
