With a break below support at 132.16, the odds favor red wave 2 having ended early at 133.39 and a new impulsive decline in red wave 3 lower to 128.07 as the next downside target. That said, we would like to see a break below support at 131.58 as well to confirm the downside pressure in red wave 3.
Short-term resistance is now seen at 132.20 and again at 132.47.
We sold EUR at 132.15 and will place our stop at 132.65. If you are not short EUR yet, then sell near 132.20 and use the same stop at 132.65.
*The market analysis posted here is meant to increase your awareness, but not to give instructions to make a trade.
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