Elliott Wave Analysis: EURTRY Clearly With Room For More UpsideHello traders! Let's learn something.
FX:EURTRY has been trading bullish for some time, but at the end of May slowed down, clearly in a three-wave A-B-C correction with the same length of waves A=C, which are actually ideal three waves down in EW theory for a regular correction.
As we know, in EW, five waves indicate direction of a trend and EW also says that after every fives, a three-wave correction follows. If we take a look at chart, we can see really nice five waves up from 5.1759 lows and also slow three waves down, which means that we are trading near ideal support zone for a bounce between 50% - 61,8% Fibonacci retracement in a 5.28-5.34 area. Even if goes lower, we will remain bullish, as long as it's trading above 5.1759 invalidation level.
At the moment it doesn't matter, if it's going up in wave C or 3, we are always looking for a minimum expectation of three waves A-B-C or 1-2-3, so 5.63 is our first target, but if from any reason goes much more impulsive, then next target can be also 5.81 for wave 3.