Wave counting analysis:
Bidding on Friday, January 18, ended for EUR / USD pair another 30 bp down. Therefore, the uptrend of the trend retains the prospects for its development, but takes the form of a diagonal triangle. On the other hand, the unsuccessful attempt to break through the level of 23.6% on the older Fibonacci grid warns the readiness of the tool to build an upward wave, presumably 5, in s. However, a breakthrough of the mark 1.1356 may lead to a further decrease and, as a result, leading to the complication of the entire wave picture of the instrument.
1.1345 – 38.2% Fibonacci
1.1315 – 23.6% Fibonacci
1.1599 – 161.8% Fibonacci
1.1677 – 200.0% Fibonacci
General conclusions and trading recommendations:
The pair remains in the construction stage of the proposed wave 4, in s. . This wave can be completed in the coming hours. Thus, I recommend buying a pair of small volumes with targets located near the estimated marks of 1.1599 and 1.1677, which corresponds to 161.8% and 200.0% of Fibonacci. Protective orders recommend placing below the level of 23.6% Fibonacci.
The material has been provided by InstaForex Company – www.instaforex.com