Wave Analysis:
Earlier today, euro retraced lower than expected and is currently forming an inside bar below 1.0822. As long as this pair remains below 1.08224 we expect to continue short with the impulsive wave (c) but should not go beyond 1.07386, from where we expect a possible rebound to go long. The anticipated bearish price rally should not go short for long since the weekly chart paints a slightly different with the bulls appearing to be in control in the long run. Ideally from the weekly chart, we expect a long term bullish price movements with an ultimate target at 1.44493.
This pair should be traded alongside NZDUSD, GBPUSD and AUDUSD. These pairs have a strong positive correlation of up to +75 and will move in the same direction during this intraday.
Trade Recommendations:
As long as the pair remains below 1.08223, expect a possible bearish price movements towards 1.07386.
Origin: FreshForex
