? EUR/USD Down Trend Breaks Double Bottom at 1.0925 ?

Hi traders,

the EUR/USD broke below the support zone and double bottom at 1.0925, which could clear the way for a full downtrend continuation towards the Fibonacci targets.

EUR/USD

4 hour

The EUR/USD downtrend is now in full steam again. Any pullback is likely to hit resistance and make a bearish bounce. A bearish breakout below 1.09 should send the currency pair towards the Fibonacci targets and the round levels of 1.0850, 1.08, and 1.0750.

1 hour 

The EUR/USD bearish breakout below the support zone (blue box) could expand the wave 5 (dark red) of wave 3 (orange) and should send the currency pair lower towards the Fibonacci targets of wave 3 vs 1. A bullish breakout, however, above the previous bottoms at 1.0925 could indicate a larger bullish correction within a potential wave 4 (orange). The Fibonacci retracement levels are then expected to act as resistance.

For more daily wave analysis and updates, sign-up up to our ecs.LIVE channel.

Good trading, Chris Svorcik