On the EUR/USD daily chart, “bears” are keeping the market under control. They are going to fulfill targets127.2% (1.0836) and 161.8% (1.0692) of the “Crab” pattern.
However, the breakout of the resistance at 1,095-1,096 could lead to the correction in the direction of 38.2% (1,104) and 50% (1.1103) Fibonacci retracement levels from the last mid-term downward wave.
On the EUR/USD hourly chart, the inverted pattern 5-0 has been activated. Rebound from the 50% and 61.8% Fibonacci retracement levels of the wave CD should lead to the change of the trend and correction. If it does not happen and the “bulls” fail to break resistance at 1,095-1,096, the fall of quotes below the 88.6% (1,086) level will be a signal for opening short positions.
Recommendation: SELL 1,086 SL 1,0915 TP 1,07.
Origin: FX BAZOOKA
