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18.09.2012 12:54 PM
EUR/USD Wave Analysis for September 18, 2012

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Wave Analysis:
The EUR/USD pair was trading in a narrow price range and failed to get over the Friday’s high. Taking this into account, inner 5 wave structure is now almost finished which may enable the beginning of the longer correctional movement. At the same time, considering the previous dynamics of the uptrend there is a great opportunity that 5 wave may bу longer and of more complex structure.
Targets for down wave, probably 1 or a:
1.2993 – 523.6% Fibonacci
1.2876 – 423.6% Fibonacci
Targets for wave 5 in 5 (may be more complex):
1.3184 and higher – 685.4% Fibonacci
Summary and Trading Recommendations:
It is most probable that the upward trend will extend. Now we can see that wave 5 in 5 continues its building in the terms of which we may observe acceleration towards 1.3184 and higher which is equal to 685.4% Fibonacci. This wave is constantly extending. After wave 5 in 5 is finished, the downward are with the targets of 1.2993 and 1.2876 will probably start forming which coincides to 523.6% and 423.6% Fibonacci in the terms of wave one. An ascending channel lost its applicability as the price went far above it which proves once again the strength of the current trend.

Summary
Urgency
Analytic
Alexander Dneprovskiy
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