General overview for 28/05/2015 09:20 CET
Diminishing momentum in this market shows that the recent up leg to the level of 1.2491 is just a part of a corrective cycle wave b purple and the market should continue to move lower in leg c purple soon. Two possible target levels for this sub-wave were projected on the intraday chart: one is a zone between the levels of 1.2356 – 1.2375 and the other is support at the level of 1.2321. Please notice the corrective cycle in wave 2 blue might get more complex and time-consuming than a simple abc irregular corrective cycle.
1.2491 – Swing High
1.2456 – WR1
1.2395 – Intraday Support
1.2356 – 1.2376 – Support Zone
1.2321 – Technical Support
Daytraders should consider opening sell orders only is the intraday support at the level of 1.2359 is violated. The SL orders should be placed very tight (20-30 pips) and TP orders should be placed at the level of 1.2321.
The material has been provided by InstaForex Company – www.instaforex.com