11/14/17 113.35 start
We see that we have finished a strong up move in a large range but with a bias now to the downside. We have a head and shoulders already in place and completing a 2 wave. We are looking for an initial move to the equilibrium of the whole move @ 111.53 and expect a stall here and then the turn for the end of the 3 wave. There is a huge Wide Open Space (WOS) here 111.53-110.18 – Don’t Miss this BIG Opportunity! Watch for a significant bounce @ the 0.618 Fibo to print a 4th corrective wave before the resumption to the downside targets @ either the STRONG Support @ 108.77 (458 Pips) or the S6 @ 107.82 (570 Pips) . Any pullback offers increased opportunity to add positions.
How to trade it? You will need to wait for your set-up to show up, for London & New York traders, that will mean waiting for the reaction now in the current area or below 113.25. Take your first entry and use the respective risk reward ratio to start trading this currency pair. We have preplaced entry orders (sell stops) on the break of each Fib and barrier to the downside and any rally should be considered an area to add to the position. DO NOT TRY AND CROWD THIS PAIR WITH TIGHT STOPS. Remember the “pullback is your friend” in route so use those to add to the position.
Be careful at the 0.618 Fibo @ 110.18.
The pair typically has pullbacks in the 60-90 pips range, so every pullback could add an additional 90 pips to the trade with another position. Currently the ATR (14 Day - Average True Range) of the currency is 73-86 Pips per day, so this might take about 2 weeks with pullbacks!