In the course of trading on Tuesday, the EUR / USD currency pair lost another 40 basis points, but the level of 23.6% held out and did not let the instrument lower. Thus, the estimated wave from the trend correction section may become complicated once again, and its goal remains unchanged, 100.0% of Fibonacci. A successful attempt to break through the level of 23.6% according to Fibonacci will indicate the readiness of the instrument to both reduce and complicate the downward trend section.
The objectives for the option with sales:
1.1215 - 0.0% of Fibonacci
The objectives for the option with purchases:
1.1471 - 100.0% of Fibonacci
1.1528 - 127.2% of Fibonacci
General conclusions and trading recommendations:
The currency pair continues to be within the framework of the construction of the ascending wave c, however, it may turn out to be shortened and may even be completed. A successful attempt to break through the mark of 1.1315 will lead to a further decrease in quotations, possibly within the framework of a new downtrend trend with the first goal located around 1.1215, which corresponds to 0.0% Fibonacci. Both purchases and sales now involve additional risks, since the wave pattern does not look completely unambiguous.
The material has been provided by InstaForex Company - www.instaforex.com