Today's support and resistance levels:
R3: 1.6167
R2: 1.6121
R1: 1.6085
Current spot: 1.6063
S1: 1.6033
S2: 1.6000
S3: 1.5958
Technical summary:
Our preferred count is still valid. We saw an important bottom at 1.5903; since that low we have seen the first impulsive rally to 1.6216 and this impulsive rally was followed by an expanded flat correction to 1.5958, which ideally will protect the downside for the next impulsive rally above 1.6121 and more importantly above 1.6263 for a rally towards 1.6446. However, a break below 1.5958 will challenge this scenario, but only a break below 1.5903 will shift the odds towards the alternative count calling for a decline to 1.5700 in an expanded diagonal.
Trading recommendation:
We will buy EUR at 1.6020 or upon a break above 1.6085 with a stop at 1.5955.
The material has been provided by InstaForex Company - www.instaforex.com
