EURUSD Elliot Waves Analysis For 17 May 2016 | 17 May 2016

Wave Analysis

EUR/USD is currently trading with a bearish bias. Yesterday, the pair broke above 1.1324 but ended up closing below it. During this intraday, as long as the minor zone 1.13119-1.1324 protects the upper side, we expect an acceleration to the lower side, but should not go below 1.1283. Ideally, we expect price to form a double bottom at 1.1283, thus we'll be looking for potential buy opportunities from this level. A clear breakout below this level may push the price further to the lower side. This pair should be traded alongside GBP/USD, NZD/USD, AUD/USD and Gold. Of late, gold appears to be positively correlated to Euro so its wise observe it alongside the other pairs.

Trade Recommedations:

As long as the level 1.1319-1.1324 protects the upper side, remain short with your ideal target at 1.1283. Buy positions are only recommended above 1.1324 or upon a clear rebound from 1.1283.