12.12.201709:45 Forex Analysis & Reviews: Wave analysis of the EUR/USD currency pair for December 12, 2017

Analysis of wave counting:

The development of the EUR/USD pair at the level of the 18th figure led to a halt in the development of the upward movement and a subsequent retreat of the price by more than 40 percentage points from the local high reached in the middle of the previous day. It can be assumed that the currency pair remained in the stage of formation of the wave c, in a, in c, in a, in (C), possibly completing its internal 4th wave. If this is the case, then before the beginning of the future wave b, in c, in a, in (C), the currency pair can resume the decline of quotes in the direction of the level of 1.1700.

Targets for a downward wave option:

1.1736 - 38.2% by Fibonacci

1.1666 - 23.6% by Fibonacci

Targets for an upward wave option:

1.1850-1.1900

General conclusions and trading recommendations:

The construction of the downward trend section continues. The assumed wave b, in a, in (C) has completed its construction. If this assumption is correct, the decline may continue with targets located near the estimated levels of 1.1736 and 1.1666, which corresponds to 38.2% and 23.6% Fibonacci within the assumed wave a, in c, in a, in (C), and below. The MACD_aka convergence warns about the trading instrument's willingness to build an upward wave b, in c, in a, in (C). An unsuccessful attempt to break the 1.1736 mark also warns the trading instrument is ready for an increase.