Analysis for May 23rd, 2012
The price continues falling down inside the descending trend. It looks like the pair is forming an extension
in wave (3)
. In the near term we can expect the price to complete wave 5
and then start the correction.
If we take a look at more detailed wave structure, which is shown on the H1 chart, we can see that the price has broken the local minimum during the formation of wave 5 of (3)
. Earlier the price completed wave 4
in the form of zigzag
pattern. The descending trend is becoming weaker, that’s why in the nearest future the correction may take place.
Euro continues falling down in wave (3)
. On the minor wave level the price is forming the fifth wave. There is a possibility that the pair may start wave (4)
during this week. The correction may take several days, but after that we can expect the price to start moving downwards again.
As we can see at the H1 chart, yesterday the price completed wave 4
and then broke the local minimum while forming the fifth one. In the near term, we can expect the price to finish wave 5 of (3)
and start the correction.