General overview for 08/05/2015 07:55 CET

As mentioned yesterday, the golden trend-line resistance was the target level for wave (b) blue. After hitting it, the market got back to the weekly pivot at the level of 1.2115. Currently, the key level to the upside is a small supply zone between the levels of 1.2190 - 1.2202, because a break out higher is needed to invalidate the three-wave progression in wave (b) blue. On the other hand, the invalidation level for the alternative count is at the level of 1.2054. In that case, the downside target would be below the recent swing low at the level of 1.1938.

Support/Resistance:

1.1938 - Swing Low

1.2029 - WS1

1.2054 - Alternative Count Invalidation Level

1.2086 - Intraday Support

1.2115 - Weekly Pivot

1.2162 - Intraday Resistance

1.2190 - 1.2202 - Supply Zone

Trading recommendations:

The buy orders from yesterday should be closed now and traders should keep eye on the level of 1.2162 for another buy entry.