rally from the September low. A correction is now in order that will continue the weakness seen since Thursday’s bearish reversal candle. Two clusters of Fibonacci retracement support surface at 1.0885 and 1.0795 to eventually halt the decline. (daily) S/t, the hourly chart shows a wave-4 triangle that preceded the final thrust higher. As triangles are often penultimate patterns a more robust correction is now necessary. Support near-term is 1.1020 & 1.0950. Resistance has formed at an hourly support shelf near 1.1090. This pullback is happening within a much larger uptrend and base breakout and can offer opportunity, once complete, to initiate longs for the next rally. (hrly) Conviction: Medium Trade: Flat. Awaiting wave-(4) pullback to test major neckline break. Levels: Support – 1.1020, 1.0950, 1.0885 Resistance – 1.1090, 1.1140, 1.1175
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Nomura