Wave Summary:
We are going nowhere here. We have consolidated within the 1.5016 - 1.5266 area for the week now. Hopefully, this cross is building up energy to make a break for a firm test and likely breach above the ending diagonal resistance line near 1.5450 that will confirm a return to the origin of the ending diagonal at 1.5838.
That said, we have to be aware that a break below support at 1.5016 will call for more downside pressure to 1.4812 and maybe even slightly below. Nevertheless, we think the downside potential remains limited.
Trading recommendation:
We are long EUR from 1.4950 with stop placed at 1.5000. If you are not long EUR yet, then buy upon a break above 1.5200 and use the same stop at 1.5200.
The material has been provided by InstaForex Company - www.instaforex.com