The huge negative divergence over four-hour interval remains valid while the suggested Elliott count is another technical catalyst that prevents us from suggesting more bullishness. Actually, Cable frequently reaches 76.4% Fibonacci when it draws its correctional waves. Thus, we are not sure if the current corrective actions that form the bigger second wave are over or it will insist on touching 76.4% retracement of the entire IM-impulsive- wave from 1.6165 to the trough of the first wave. Consequently, we will avoid trading today; noting that a break below 1.5785 will be the first indication that the third wave is in progress.
The trading range for today is among key support at 1.5585 and key resistance at 1.6025.
The general trend over short term basis is to the downside, targeting 1.4225 as far as areas of 1.6875 areas remain intact.
|Recommendation||Based on the charts and explanations above our opinion is, staying aside until an actionable set up presents itself to pinpoint the upcoming big move.|