ANALYSIS

W1

On the daily chart of a pair a version of marking of the alternative waves "{d} or {iv}" with basic cycle of optimization of market data in one week is presented.

The events of previous week did confirm anticipated amplitude of C-wave development, which raised concern on correctness of expectations of (x)-wave development mentioned in mid week express review.

Nevertheless, anticipation of Contracting Triangle formation in (x)-wave structure remains grounded with a remark that B-wave has not been completed yet. In fact, everything that was anticipated for previous week is transferred for an upcoming one.

Note, that evaluation of wave activity on daily data optimization chart delivers numerous signals indicating unpeculiarity of Triangle formation. Triangle is known to be the pattern where it is not recommended to build any trading strategies due to risks of trend direction shifts. Therefore, earlier recommended short-term sales should be ruled out for the upcoming week, however, preservation of probability of long-term buying positions from levels close to A-wave termination or at break of recent tops remains.

EUR/USD-W1:

Work chart: