My working count suggests that the fall started from 2.0117 is corrective in nature and is developing as a flat correction. Today’s rise is spectacular but it could still be only wave B of the said flat correction and we still could see a fall below 1.9993. With an eye on this I stay on the short position opened earlier this week. A fall below 2.0092 would signal that the presented count is correct and wave C has already started with potential target 1.9945. On the other side a rise above 2.0117 would abort the above presented count and would signal that the correction is already over at 1.9993 and further rise to 2.0450 should be expected in such a case.

Trading strategy: 08:15 EST; 12:15 GMT

Short position opened from 2.0188, stop loss - 2.0223, target - 1.9945

Confidence level - moderate

This analysis has only informational and educational purpose and does not represent a proposal for buying or selling currency contracts.