General overview for 04/08/2014 08:40 CET

The five waves impulsive development looks completed with the top for red wave 5 at the level of 1.0943. From that high, a possible five wave impulsive black wave i to the downside can be labeled as well. This would mean the pair is in the corrective structure now that can not break out above the wave i high. More downside wave progression is anticipated if the level of 1.0943 is not violated, as the pair already has broken out of the golden channel. Multiple bearish divergence supports this view.

Support/Resistance:

1.0991 - WR1

1.0943 - Wave 2 High

1.0892 - Weekly Pivot

1.0876 - Intraday Support

1.0842 - WS1

1.0821 - Technical Support

Trading recommendations:

Day traders and swing traders should consider opening short orders from the current market levels with SL above the level of 1.0943 and TP at the level of 1.0876 with a possible downside extension.