Daily Outlook 11.02.2008 by Dimo Dimov
I think that the fall started from 1.4954 is corrective in nature (double corrective combination) and it is probably wave of a triangle. The chart shows the second part of it and I expect one more fall below 1.4438 in wave C. With an eye on this I entered short position earlier today. I pointed as a target of this position 1.4367 where wave C will be equal to wave A and also at this level is a low from 22 of January. If the expected move down has already started, the euro should stay below the entry level of todayâ€™s short position, So to avoid the risk I move the stop loss to the break-even.
Trading strategy: 09:37 EST; 14:37 GMT
Short position from 1.4542, move the stop loss from 1.4580 to 1.4542, target - 1.4367
Confidence level â€“ changed from low to medium
This analysis has only informational and educational purpose and does not represent a proposal for buying or selling currency contracts.