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Wave analysis of EUR / USD for May 22. The Euro currency gets a chance to recover

analytics5b03c841e1b6a.png

Analysis of wave counting:

The five-wave structure in the composition of wave c, 2, looks complete now. The pair yesterday, ideally having fulfilled a mark of 161.8%, has departed from the reached minimum by 80 percentage points. Thus, there were grounds to assume that the downward structure completed its construction. Nevertheless, the pair retains very high chances of complicating the internal wave structure of the wave 5, c, 2 with targets of about 1.1650 and about 16 figures. At the same time, the further development of the upward movement will lead to the conclusion that the tool is ready to construct an ascending set of waves.

The objectives for the option with sales:

1.1715 - 161.8% of Fibonacci

1.1649 - 200.0% of Fibonacci

1.1636 - 261.8% of the Fibonacci of the highest order

The objectives for the option with purchases:

1.1835 - 200.0% of the Fibonacci of the highest order

General conclusions and trading recommendations:

The assumed wave 5, c, 2 either completed its construction, or is close to completion. Therefore, I now recommend that in small volumes to form purchases within the framework of the future first wave in the extended 3 uptrend sections of the trend. A break of 1.1715 will lead to a more complicated wave 5, c, 2 and a resumption of sales with targets near the marks of 1.1649 and 1.1636, which corresponds to 200.0% and 261.8% of Fibonacci.

The material has been provided by InstaForex Company - www.instaforex.com