In my previous post I mentioned that I favored a bearish move for EURAUD and although we saw a perfect bearish impulse I didn't see the consolidation I was looking for to sell the continuation.
This is not a big deal because now we have another trade opportunity that might present an even better trade. I believe we saw a 5 wave impulse lower and I like to see a 3 wave correction which might go as far as that projected confluence zone. Today we saw a minor bullish impulse which might be the start of a wave 'A'. Once wave B settles we can buy the third leg higher. Once the correction of larger degree (ABC) is complete we can sell the next impulse lower.
updates will follow
This is not a big deal because now we have another trade opportunity that might present an even better trade. I believe we saw a 5 wave impulse lower and I like to see a 3 wave correction which might go as far as that projected confluence zone. Today we saw a minor bullish impulse which might be the start of a wave 'A'. Once wave B settles we can buy the third leg higher. Once the correction of larger degree (ABC) is complete we can sell the next impulse lower.
updates will follow
EURAUD is in an important and strong support zone. Watch for a reversal or correction. Ideally we see a correction (bear flag) setting up for a bearish continuation which in case it happens will most likely be by means of a thrust out of this contraction zone and turn out to be a strong move lower.