EURUSD: initial target 1.16

According to the Elliott Wave Principle, the natural target for a correction like the one we are experiencing in the EURUSD is the end of the 4th wave, in our case around 1.16 (red line).

It might go directly to 1.16 or it could delay it a bit, but it seems a possible stop. In any case, the long-term trend is bearish for the euro.

It doesn’t matter if we are right or wrong, but having at least some percentage of our investments in other currencies makes a lot of sense. Remember: real diversification is the key to low volatility.