I want to kick-start the week with a contradictory idea to the majority of the TV community. I believe that the pair faces another up-move, with a new high, before coming down once again.
What gives me reason to believe this is a potential wave C I have outlined on my chart. It would make perfect sense because:
+ Wave A consisted of 5 sub-waves, meaning that wave B is unlikely to correct the whole of wave A
+ Wave B has a chance to be finished as I can clearly see a a-b-c sub-wave within it
+ The pair finds itself in quite a down-market since a while. A correction just makes sense
With that in mind, a C wave would top wave A and therefore create a new high. I am acting cautiously as wave B isn't necessarily finished. It's a correctional wave which can be tricky at times!
So, with all that in mind I am looking to go long with a tight stop. If I am right a 1-2-3-4-5 sub-wave within the C will unfold and push the prices much higher. Bear in mind, I am still a beginner using the EW theory so please feel free to comment constructive critique.
Therefor I turned my long trade around and opened a short position. Wish me luck hehehe