General overview for 18/11/2014 08:20 CET
After a false breakout above the yesterday's intraday resistance level the market reversed and now it is making new lows. The recent Elliott Wave count indicates, that it might be the last of the impulsive wave to the downside in the sub-cycle of the wave iii black ( wave -i- of wave iii) and now some reaction to the upside is needed. The target for wave -i- is at the level of 1.1220, that will invalidate the green alternative count as well. Please notice that the market is still moving inside the golden channel and the technical bullish flag pattern is still being taken into account.
Support/Resistance:
1.1120 - Wave 4 Blue Low
1.1173 - WS2
1.1224 - WS1
1.1220 - Green Alternative Count Invalidation Line
1.1265 - Technical Support
1.1311 - Weekly Pivot
1.1326 - Intraday Resistance
Trading recommendations:
Yesterday's SL level for the short traders has been hit and sell orders should be closed with profit. Currently, day traders should open sell orders again from the current price level with SL just above the level of 1.1275 and TP at the level of 1.1220. Low risk, high reward trade to take on the last wave 5 to the downside.
The material has been provided by InstaForex Company - www.instaforex.com
