EURUSD Elliot Waves Analysis For 6 July 2016 | 06 Juli 2016

Wave Analysis:

EUR/USD is currently trading with a bearish bias. Yesterday, the pair rebounded from the resistance level 1.1167, headed short and even hit our first target support level 1.1049. We expect further movements to the lower side and may break below 1.0946. In the meantime, we wait for a clear breakout below 1.1040 to give us the green light to go short. This pair should be traded alongside GBP/USD, AUD/USD and NZD/USD. These pairs have a strong positive correlation of up to +0.95 and will have a similar price action during this intraday.

Trade Recommendations:

Wait for a clear breakout below 1.1040 then go short with an ideal target at 1.0946. A clear rebound from 1.1049 will call for long positions with an ideal target at 1.1167.