Euro Wave 4 Correction Underway

Commentary: No change to the EURUSD outlook. The bullish bias remains although the next few trading days are likely to see a correction in wave 4 (as mentioned yesterday). We wrote yesterday that "the 5 wave rally from 1.3778 may have completed wave 3 within the 5 wave bull cycle from 1.3360.

If this is the case, then we expect a wave 4 correction to end near 1.3784 (38.2% of 1.3551-1.3928 and former congestion) before wave 5 presses against 1.4000. Again, there is no change to the outlook for higher prices as the trend remains up.

Strategy: Look to enter long close to 1.3800, against 1.3719, target 1.4000