EUR/USD Signal March 21 2012

Fadi Steitie

| on March 21, 2012 | Updated on March 21, 2012

By: Fadi Steitie

Currency:EUR/USD
Trend Expected Direction: Down within a falling channel.
Method: Elliott Waves and Fibonacci Trading.
Description: With no changes in German PPI yesterday, the pair went into a complex correction that might last for a couple of days until we get a clear change in European economy. I still believe that EUR/USD has one more wave to go down in order to complete the drop cycle. We notice the first correction wave (A) just completed at 1.32626 and channel broke for a complex expanded flat for wave (B) That I think it will hit the resistance level at 1.32880 with minor abc before it falls down to 1.618 for wave (B). However, this trade is a bit risky because it goes with no change in news and based on pure mass psychology.
Recommendation: Sell pair for a minor correction that last for today and tomorrow.
Target Area: 1.31350
Stop Loss: 1.33500

Fadi Steitie

Fadi Steitie is an entrepreneur, investor and professional Forex trader who shares Forex signals with DailyForex.com based on his keen understanding of the market. His favorite pair is EUR/ USD because almost 40% of traders trade this pair and it does match most of his pattern recognition strategies. He is an expert in Elliot Wave principles as well as Ichimoku Kinko Hyu which he is currently researching. So far he has not seen many English translated books about this method of technical analysis, however he is continuing to read about it and believe this method has as much to give to traders like the Elliot Waves method does. Fadi is looking for the magic behind this principle even though many do not research this trading system.