Today PA invalidated the triangle from my previous idea.
It's possible that we have just completed an AB=CD pattern at the lower boundary of a down channel AND at the 61.8% retracement of the last big move up (depicted here as wave 1 or bat XA). This could be the end of a C wave of a zigzag correction and possibly wave 2... but we can't be sure yet at this point in time...
I closed my short and I'm currently long to catch a possible retracement up to the broken minor S/R zone or possibly beyond. If this fails and we break the channell to the downside then completion of the bullish bat is very likely imo.
As long as we don't move up beyond the bat's C point it stays valid for me.
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Interesting! Bounce off the channel boundary and now above the S/R zone, re-test and further up to the upper channel boundary...?
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Paul-Man
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1.080 what a Big Zone for the EU now - great analysis !!!
KVE
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Thanks!
And what an interesting move today! Nice bounce from the AB=CD, channel and 61.8 ret. >> we may have started wave 3..., ABC zigzag wave 2 to 61.8% is textbook...
As for the fundamentals: EU economic sentiment is still very low, Draghi commiting to further QE measures as long as it takes, negative rates, debt buying, money printing galore... Ideal for the start of wave 3!!
>> S/R zone re-test and/or move above today's high might give us confirmation and a good long opportunity, initial targets upper channel boundary and the end of the possible 1st wave at around 1.1050 (1.1080 was an important pivot point the previous months).
Beyond that the sky is the limit! Or at least could be... ;-)