The fall started from 2.0004 turned out to be a flat correction as is shown on the chart. Today’s sharp recovery signals that it is already over. However it is not clear what exactly is the position of today’s rebound. It could be wave x before another sell-off, it could be also wave a of correction of the movement started from 2.0004 and it could be also wave 1 from an impulse up. With an eye on current unclearness I prefer to be flat after the closing of the yesterday’s aggressive short position.

Trading strategy: 10:58 EST; 15:58 GMT

The short position from 1.9976 and the additions to it from 1.9964, 1.9948 and 1.9926 were closed at 1.9940 with total profit 54 pips

Stand aside

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