The correction in wave iv hit 121.15. We are now looking for a break below minor support at 120.63 and more importantly, a break below support at 120.43. It will indicate that wave v is heading down to the ideal target-zone between 118.85 - 119.24.
If the pair fails to hold below short-term key-resistance at 121.26, it will decrease. Wave 2 has already tested 119.79 and wave 3 has started a rally above 122.88.
R3: 121.75
R2: 121.57
R1: 121.26
Pivot: 120.86
S1: 120.63
S2: 120.43
S3: 120.26
Trading recommendation:
We are short EUR from 120.40 with our stop placed at 121.26