Technical summary:
We knew that we were getting close to a long-term low and expected to see one final low just below 1.4787, but this new low was never seen, as wave (v) of [C] ended as a fifth wave failed at 1.4888. We are now looking for a new impulsive rally towards 1.6446 as the first major upside target. In the short-term, a minor correction to 1.5410 is expected before the next rally higher and a break above minor resistance at 1.5600 will be the first good indication that the correction is over, while a break above resistance at 1.5686 confirms the rally higher towards 1.6446. Only a break below 1.5133 will force us to review our bullish count.
Trading recommendation:
We will buy EUR at 1.5425 with stop placed at 1.5325 or we will buy EUR upon a break above 1.5686 with stop placed at 1.5490 (one order done cancels the other).
