The pair is in correction, the fall is possible.
On the 4-hour chart, the first wave of the higher level 1 of (3) formed as a wedge, and a downward correction develops as the wave 2 of (3). Now, the wave c of 2 is forming, within which the third wave of the lower level (iii) of c has ended. If the assumption is correct, after the local correction (iv) of c, the pair will fall to the level of 1.2650. In this scenario, critical stop loss level is 1.2966.
Main scenario
Short positions will become relevant during the correction, below the level of 1.2966 with the target at 1.2650. Implementation period: 5–7 days.
Alternative scenario
The breakout and the consolidation of the price above the level of 1.2966 will let the pair grow to the levels of 1.3178–1.3377.
Scenario
Timeframe Weekly
Recommendation SELL
Entry Point 1.2785
Take Profit 1.2650
Stop Loss 1.2860
Key Levels 1.2650, 1.2966, 1.3178, 1.3377
Alternative scenario
Recommendation BUY STOP
Entry Point 1.2970
Take Profit 1.3178, 1.3377
Stop Loss 1.2900
Key Levels 1.2650, 1.2966, 1.3178, 1.3377
On the 4-hour chart, the first wave of the higher level 1 of (3) formed as a wedge, and a downward correction develops as the wave 2 of (3). Now, the wave c of 2 is forming, within which the third wave of the lower level (iii) of c has ended. If the assumption is correct, after the local correction (iv) of c, the pair will fall to the level of 1.2650. In this scenario, critical stop loss level is 1.2966.
Main scenario
Short positions will become relevant during the correction, below the level of 1.2966 with the target at 1.2650. Implementation period: 5–7 days.
Alternative scenario
The breakout and the consolidation of the price above the level of 1.2966 will let the pair grow to the levels of 1.3178–1.3377.
Scenario
Timeframe Weekly
Recommendation SELL
Entry Point 1.2785
Take Profit 1.2650
Stop Loss 1.2860
Key Levels 1.2650, 1.2966, 1.3178, 1.3377
Alternative scenario
Recommendation BUY STOP
Entry Point 1.2970
Take Profit 1.3178, 1.3377
Stop Loss 1.2900
Key Levels 1.2650, 1.2966, 1.3178, 1.3377