Analysis of wave counting:
Despite the strong oversold indicators and unfolding MACD, during the yesterday's trading, the currency pair EUR / USD continued its decline and rebounded to the mark of 1.2360 only after testing the level of the 23rd figure. The current wave situation allows us to assume that the currency pair remained in the stage of formation considerably complicated its wave structure, the wave 2, 5, 5, A, (C). If this is the case, then before specifying the beginning of the future wave 3, 5, 5, A, (C), the currency pair may resume the decline of quotations to the levels of 1.2275-1.2260.
The objectives for building a downward wave:
1.2287 - 76.4% of Fibonacci
The objectives for building an upward wave:
1.2600 - 1.2700
General conclusions and trading recommendations:
The construction of an upward wave A, (C), continues, whose internal marking continues to become more complicated. The increase in quotations may resume within wave 3, 5, 5, A, (C) with targets that are around 26 figures and higher after the completion of the current correction wave 2 with targets near the estimated level of 1.2287 that corresponds to 76.4% of Fibonacci, and slightly lower. The MACD convergence warns about the readiness of the tool to increase.
*The market analysis posted here is meant to increase your awareness, but not to give instructions to make a trade.
InstaForex analytical reviews will make you fully aware of market trends! Being an InstaForex client, you are provided with a large number of free services for efficient trading.