corrections | 17 November 2017

Wave Analysis:

Since the previous day's forecast, the corrective wave (b) continues to rally upwards but is still below the daily resistance level 1.1862. We're waiting for a possible rebound from this level, to short the impulsive wave (c). Ideally should the price rebound from 1.1862, then we expect a possible bearish price rally towards 1.1655, a break below this target will culminate into further bearish price rally towards 1.1120. This view can only be invalidated in case the price end up breaking above 1.1862, if this is the case, then further momentum towards 1.2095 will be the next ideal move. This pair should be traded alongside GBPUSD, GBPAUD and EURHKD. These pairs have a strong positive correlation and will move in the same direction.

Trade Recommendation:

Wait for further corrections and sell this pair around 1.1862