Possible sell candle | 21 December 2017

Wave Analysis:

After correcting itself further to the upper side, euro is showing signs of rebounding to the lower side. The previous day's candle is a possible sell candle and could push the price to the lower side with our first target at 1.1673 and the next target at 1.1120. This chart looks a bit bullish on the intraday charts, but on the weekly and the monthly charts, we expect a massive decline in price with an ultimate monthly target set at 1.0400 or even lower. On the daily chart above, we expect a continuation of the impulsive wave (c) to the lower side with our target at fixed at 1.1120. This pair should be traded alongside EURHKD, EURSGD and GBPUSD. These pairs have a strong positive correlation and will move in the same dircection.

Trade Recommendations:

Expect a possible bearish price rally towards 1.1673.