FX.co ★ Wave analysis of the EUR/USD currency pair for December 18, 2017

Analysis of wave counting:

In the middle of Friday trading, the EUR/USD pair resumed the expected downward movement and after losing more than 70 pp. finished the day with a breakdown of the mark of 1.1750. Thus, it can be assumed that the currency pair tried to confirm the transition to the stage of formation of the first generating waves in the composition of the future wave c, in c, in a, in (C). At the same time, the likelihood of significant complication of the internal wave structure of wave b, in c, in a, in (C) and the return of the price to the marking area 1.1850-1.1870 still remains.

Targets for a downward wave option:

1.1736 - 38.2% by Fibonacci

1.1666 - 23.6% by Fibonacci

Targets for a downward wave option:

1.1850-1.1900

General conclusions and trading recommendations:

The construction of the downward trend section continues. The assumed wave b, in c, in a, in (C) has completed its construction. If this assumption is correct, then the lowering of quotations will continue with the targets located near the calculated marks of 1.1736 and 1.1666, which corresponds to 38.2% and 23.6% of Fibonacci. Unsuccessful attempt to break the mark of 1.1848 led to the completion of the construction of the upward wave.