Wave analysis of the EUR / USD currency pair for May 10, 2018

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Analysis of wave counting:

After the decline at the beginning of the European session to almost 1.1820, the price of the EUR / USD currency pair fell by more than 70 percentage points from the already reached minimum and completed trades near the opening levels of the day. At the same time, with such a slow decline, the currency pair continued the process of complicating the internal wave structure of the wave 5, c, c, B, (C). If this is the case, the breakdown of the level of the 18th figure will most likely lead to a price turn against the dollar, thereby indicating the beginning of the future wave d, B, (C), or even the resumption of the formation of the main upward trend.

The objectives for building a downward wave:

1.1807 - 685.4% of Fibonacci

The objectives for building an upward wave:

1.2100 - 1.2200

General conclusions and trading recommendations:

The wave counting on the instrument involves the construction of a descending set of waves. Now, it is expected that the quotes will continue to decline within the limits of wave 5, c, c, B, (C) with targets near the calculated mark of 1.1807, which corresponds to 685.4% of Fibonacci. The downward corridor preserves the prospects of reducing the instrument, the breakthrough of its upper forming line will warn about the readiness of the instrument to build the upward wave.

The material has been provided by InstaForex Company - www.instaforex.com