EURUSD prepares to drop towards 1.0900

EURUSD has most likely carved a lower degree wave ii (not labelled here), as a combination w-x-y, above 1.1300 handle today. The currency is seen to be trading around 1.1282 levels around this time of publishing and could soon resume lower towards 1.0900. Immediate resistance remains intact around 1.1350 handle and the above wave structure remains intact until prices stay below that handle. We still favor a bearish EURUSD count against 1.1422 highs and probability remains for a push below 1.0636 as well. Interim support remains at 1.1167 and a break below would accelerate the drop further.

Strategy:

Short against 1.1422, targeting below 1.0636.

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