General overview for 19/05/2016:

The first two sub-waves in the developing wave (iii) are now completed, and if the count is correct, we should see a downward acceleration and an intraday support level breakout. Nevertheless, please remember that the invalidation of this structure is at the level of 124.65. So as long as the internal corrective cycle in a potential wave (ii) green is developing below this level, the chances for a downward trend continuation are high.

Support/Resistance:

121.47 – Swing Low

121.56 – WS1

122.67 – Intraday Support

123.11 – Weekly Pivot

124.17 – Intraday Resistance

124.08 – WR1

124.55 – Wave (b) High

125.61 – WR2

Trading recommendations:

Day traders should consider selling the rally in this market with SL above the level of 125.65 and TP open for now, because we expect an impulsive wave progression to the downside to continue in the near term.

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The material has been provided by InstaForex Company – www.instaforex.com

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