Wave analysis on EUR/USD (W1) for November 18

[analytic]

On the daily chart of the pair a version of marking of the alternative waves “{d} or {iv}” beginning with basic cycle of market data optimization in one week is presented.
The events of the past week were more informative for elimination of the whole range of wave development alternative variants on the chart with daily period of data optimization. Though the range of rate movement limited by m58-monowave is still untouched and [x]-wave structure has signs of Flat Correction formation but with alternatives for defining type of this standard correction that is supposed to be revealed by the end of the following week. Flat Failure is the alternative variant besides Common Flat with close amplitudes equality of all its segments.

Guiding lines for formation of the mentioned patterns are the following:

- For Common Flat (C)-wave excess of 138.2% to (B) wave is unacceptable. That means for the considered wave activity version 1.36 excess will be characteristic of Elongated Flat formation as more appropriate pattern within Triangles and Terminal Impulsions. Hence above the mentioned levels trading interests protection with sells trading operations is quite logic. But in case of rate rise above the mentioned levels current version of wave development will need certain revision of patterns structure of higher degree.

- For Flat Failure (C)-wave completion is rather typical at 61.8% according to (A)-wave but other variants are also possible and they are possibly can not be applied in our case. Hence minimal levels at which sells planning is possible will be at 1.29.

To conclude the above mentioned observations there is rather high possibility of Terminal Impulsion formation in (C)-wave structure the disclosure of which is possible only on the chart with lesser time interval i.e. on the chart with daily period of data optimization. It is necessary to consider as well that (C)-wave duration can not be the shortest according to any previous Flat segments. And as (A)-segment is less durable than (B)-segment it will be the shortest Flat Correction segment or will have close parity to forming (C)-wave. On the other hand in case of bottoms of the current year sustained break and in particular m58-monowave termination will be rather confirming sign of [x]-wave completion and Elaborate Correction second pattern beginning.


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With respect,
analytic
Forex LTD

[forexguide]

As I was watching the chart I could see good features on there..