Analysis for May 8th, 2012
The price continues forming wave 
. It looks like wave (3)
is almost completed. In the near term, we can expect the correction and then the start of wave (5) of 
More detailed wave structure is shown on the H1 chart. We may assume that the price has completed wave 4
and started forming the fifth one. All these factors indicate that the pair will continue falling down.
Over the last 24 hours the price has almost eliminated the gap, which took place during the market opening on Monday. There is a possibility that the pair may start moving downwards again. In the near term, we can expect the price to reach a new local minimum.
As we can see at the H1 chart, the price has formed two initial descending impulses. It looks like Euro is on the verge to start wave 
. The forecast of the price movement is still bearish. The target is at the level of 1.2800.