EURUSD fell sharply lower in the last two weeks with accelerating price action, confirming a continuation of a downtrend. We see a huge possibility for wave (3) in progress, which is part of a big five wave move within wave V which began unfolding at the end of September, away from 1.1700. Based on the current strong bearish momentum, we may see an extension towards the 1.0400-1.0500 area this year, where we see Fibonacci levels for wave (3). For now the invalidation level remains at 1.1500; as long as it will hold the trend is down.
EURUSD, Daily
On the 4h chart, EURUSD is falling very sharply, beneath 1.0900 this week, so it looks like the bearish trend may already continue. We expect wave 3) sell-off down to around 1.0600/1.0650 area in the next few trading days, while 1.1073 swing high is not breached. Any surprise and turn up above 1.1000 will suggest that the market is still in wave two.
EURUSD, 4H
