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Euro Technical Outlook

Wednesday, 09 April 2008 12:54:46 GMT

Written by Jamie Saettele, Currency Analyst

The EURUSD has hardly moved since yesterday and therefore there is no change to the near term structure.  “Both legs of the down-up sequence from 1.5904 are not clear impulses.  This makes it likely that a larger correction is underway; either a triangle or a flat. 

It is possible that waves A through D of a triangle are complete and that wave E is underway towards 1.5600 or just below.  E waves of triangles are usually sharp and have a tendency to penetrate the lower triangle line.  The triangle line crosses through 1.5590 today and 1.5620 tomorrow. 

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