EURUSD is showing characteristics of a impulse, with blue wave three in action. We know that wave 3 is an impulse, and also usually the strongest wave, meaning it must contain five legs and can move price strongly and sharply in the direction of the trend. That said, in our case we see red sub-wave iii ) of three in progress, that can be trading in final stages with current intra-day rally suggesting that maybe minor black wave v is already in motion. However, any drop towards the 1.1963 level would indicate that a wave iv pullback can still be unfolding and gains may be put on hold for a short period of time.
Disclosure: Please be informed that information we provide is NOT a trading recommendation or investment advice. All our work is for educational purposes only.
Take a look -->