Wave summary:
After a perfect 61.8% correction of wave [i] to 122.61, we are now looking for wave [iii] higher towards at least 125.78 and possibly even higher.
In the short term, we will ideally see minor support near 123.20 protect the downside for a break above minor resistance at 123.510 and, more importantly, a break above resistance at 123.81 confirming that a low is in place at 122.61 for a rally towards 125.78.
Only an unexpected break below 122.91 indicates that a more complex correction is unfolding in wave [ii].
Trading recommendation:
We are long in EUR from 123.10 and will move our stop higher to 122.90. If you are not long in EUR yet, then buy a break above 123.51 and use the same stop at 122.90.
The material has been provided by InstaForex Company - www.instaforex.com