Wave analysis of the EUR/USD currency pair for January 29, 2010

The EUR/USD currency pair continued to drop slightly to the mentioned target at 1.3915. Taking into account MACD strong divergence and stochastics overbought, we could suppose that the fifth wave of the current part of the downward trend practically finished. But, considering the general situation at the stock and currency markets, the euro can continue the downward trend to the level of 1.3745. The complicated inside wave structure of the fifth current wave lets in an opportunity of continuation formation in it.

Best regards,

analyst: A. Dneprovskiy