Daily Outlook 03.12.2007 by Dimo Dimov
The chart shows the fall started from 1.4966. I think it is corrective in nature. The problem here is the correct wave interpretation of this corrective fall because currently there are still too many possibilities. One of them is presented on the chart which suggests that a double corrective combination which ends with a triangle is developing. When it is over, one should expect at least 61.8 % retracement of the fall started from 1.4966. With an eye on this possibility I exited my short position earlier today and I could even give a strategy for a long position if the market is moving upon the presented count. A key support is 1.4619. A key resistance is 1.4708
Trading strategy: 09:24 EST; 13:24 GMT
This analysis has only informational and educational purpose and does not represent a proposal for buying or selling currency contracts.