ANALYSIS

W1

On the daily chart of the 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 the previous week delivered first signs of completion or possible completion of (A)-wave as the first segment of [d]-wave of a higher degree. Though the abovementioned fact was revealed only on a daily data optimization chart, nevertheless, at this point the following observations:

-Regardless of relatively high dynamics of rate decline after [c]-wave termination, there is no clear indication that Trend Impulsion is formed. This means that we have grounds to assume formation of correction NeoWave pattern at least, and even more, to anticipate retracement of rate decline below 61,8% level.

-As mentioned in the previous review, following the logic of formation of corrective five- and more segmented patterns, the retracement depth of [c]-wave should not be less than 38%. At this point such a retracement has not been attained yet, therefore, we can assume (A)-wave incompleteness, and it is more possible that [c]-wave structure will be completed below currently assumed level of (A)-wave termination.

-Following the time and amplitude of (B)-wave formation will be the key in further revealing of probable structure and nature of market movement. For instance, in case when (B)- is less extended than (A)- wave and it shows retracement of less than 61,8% of this wave, we may assume further essential rate decline with [c]-wave retracement more than 50%. In case when (B)-wave is more extended than (A)-wave, we may assume (A)-wave retracement of more than 61,8%, (C)-wave should complete below (A)-wave termination.

EUR/USD-W1:

Work chart: