General overview for 11/02/2014 06:25 CET
The corrective cycle continues on this pair and currently wave b purple is being made. The is one more wave to the downside left, wave c purple, and then the corrective cycle is over. The target level for wave c purple in regular flat correction is at the level of 139.40 and for irregular flat correction at the level of 138.14. Breakout below this level means the correction might get more complex and time consuming. Please notice that the intraday trend is mature and the bearish divergence has formed on momentum and this supports my point of view.
Support/Resistance:
140.14 - 78%Fibo
139.79 - Intraday Resistance
139.14 - Intraday Support
138.87 - Weekly Pivot
138.41 - Target for wave c purple
137.98 - WS1
Trading recommendations:
Swing traders that were long from the wave 4 purple bottom are advised to close the long positions and open intraday short positions from the level of 139.79 with SL above the level of 140.21 and TP at the level of 139.14 and 138.87.