Wave summary:
The possible triangle we mentioned yesterday is more and more likely to be formed. As we said yesterday, we are still at the very beginning of the process, so a lot can still happen to the corrective pattern. But for now, we will play out the triangle scenario. Once this triangle terminates, a downward thrust is expected for a continuation lower to 126.05 and 125.45.
The short-term resistance is found near 128.80. It will take a break above 129.08 to invalidate the triangle scenario.
Trading recommendation:
We are short EUR from 130.95 and will move our stop to 129.15. If you are not short EUR yet, then sell near 128.80 and use the same stop at 129.15.
The material has been provided by InstaForex Company - www.instaforex.com