2016-10-07 17:34:56

Estimated pivot point is at the level of 1.3147.

Our opinion: Buy the pair from correction above the level of 1.3147 with the target of 1.3305. In case of breakout of the level of 1.3147, sell with the target of 1.3039 – 1.2819.

Alternative scenario: Breakdown and consolidation of the price below the level of 1.3147 will trigger further decline in the pair to 1.3039 – 1.2819.

Analysis: Presumably, the formation of the long-term correction is nearing completion as the wave B of the senior level, which takes a shape of the triple three wxyxz. Locally it is likely that the final wave of the junior level(c) of z of B is being formed. If this assumption is correct, in the short-tern the pair may rise up to 1.3305. Critical level for this scenario is 1.3147. In case of breakdown of this level the pair may go down in wave C.