Top Trade Idea For November 27th, 2014 – EURUSD
The chart above is quite a simple analysis in the sense that the eurusd is forming on the lower time-frames (actually ended) a terminal impulsive move and this pattern is visible on the four hours and the hourly chart as well.
What is important at this move is that this lows the market made at the opening on Monday, are most likely the end of the pattern and this is quite a bullish pattern in this arrangement.
This comes from the fact that all waves are corrective, but in the same time the extended wave is there. Because of this, it means that the move to follow should have at least one impulsive move and should stretch all the way to the origin of the terminal impulsive move.
And just like that, we have a trade, as a move back below 1.2350 should be the invalidation area, while the take profit the 1.2900 area.
From a fundamental point of view, tomorrow’s CPI in Europe should signal if this scenario is correct or not.
It remains to be seen if markets will confirm it.
About Mircea Vasiu
Mircea Vasiu has an MBA in International Business from an American University, graduating Magna Cum Laudae. He has been a professional trader for the last 8 years and is involved in various educational projects for different financial companies. He also runs a trading signal for the currency markets at www.capitalpropertiesfx.com.