EUR/USD: More Bearish Momentum Expected
EUR/USD fell sharply lower last week with accelerating price action beneath 1.1000 level, which confirms a continuation of a downtrend. We see huge possibility for wave (3) in progress that is part of a big five wave move within wave V that began unfolding at the end of September, away from 1.1700. Based on current very strong bearish momentum, we may see extension towards 1.0400-1.0500 area this year, where we see Fibonacci levels for wave (3). For now, invalidation level remains at 1.1500; as long it holds, trend is down.
EUR/USD Daily Chart