Wave counting analysis:
On Wednesday, April 24, trading ended for 70 bp lower. Thus, the tool performed a successful attempt to break through the minimum of April 2, which resulted in making adjustments to the wave marking. The whole part of the trend, originating from January 10, is transformed into a complex 5-wave structure, which can be very long in time. The immediate objectives of the pair are the levels of 161.8% and 200.0% Fibonacci, which was built on the size of the estimated wave 2. Despite the fact that the news background for the pair remains neutral, it is clear that the markets have switched to active sales of the pair. Estimated 3-in-3 wave can also be very long.
Sales targets:
1.1097 - 161.8% Fibonacci
1.1045 - 200.0% Fibonacci
Purchase goals:
1.1324 - 0.0% Fibonacci
General conclusions and trading recommendations:
The pair resumed building a downward trend against the backdrop of the reluctance of markets to invest in the euro currency. Wave counting suffered changes. The current wave counting suggests a reduction in the pair with the closest targets 1.1097 and 1.1045, which equates to 161.8% and 200.0% Fibonacci. I recommend selling a pair for these purposes.
The material has been provided by InstaForex Company - www.instaforex.com