General overview for 02/05/2016:
There is a possibility that the ending diagonal pattern is forming right now in this market. It will act as a final wave of the whole corrective structure in the wave Z. To confirm this scenario, the market must make one more sub-wave to the downside and then strongly rebound to the upside, targeting the first the intraday resistance at the level of 1.2587 and then the level of 1.2756. Otherwise the corrective wave progression will evolve into a more complex and time consuming pattern.
Support/Resistance:
1.2434 - WS1
1.2498 - Intraday Support
1.2574 - Weekly Pivot
1.2587 - Intraday Resistance
1.2651 - WR1
1.2694 - Intraday Resistance
1.2756 - Wave XX High
1.2792 - WR2
1.2873 - WR3
Trading recommendations:
Day traders should consider opening buy orders only if the level of 1.2587 is clearly violated (H1 candle close above this level), with SL below the level of 1.2498 and TP at the level of 1.2694.
