On the 4-hour chart, the downward trend is forming as a first wave 1 of (5) of the higher level. Now the development of the local correction as a fourth wave iv of has ended. If the assumption is correct, the pair will fall to the levels of 0.7477–0.7413. The level of 0.7677 is critical and stop-loss for this scenario.
Main scenario
Short positions will become relevant below the level of 0.7677 with the targets at 0.7477–0.7413. Implementation period: 5–7 days.
Alternative scenario
The breakout and the consolidation of the price above the level of 0.7677 will let the pair grow to the level of 0.7814.
Trade
Scenario
Timeframe Weekly Recommendation SELL Entry Point 0.7648 Take Profit 0.7477, 0.7413 Stop Loss 0.7677 Key Levels 0.7413,0.7477, 0.7677, 0.7814
Alternative scenario
Recommendation BUY STOP Entry Point 0.7680 Take Profit 0.7814 Stop Loss 0.7630 Key Levels 0.7413,0.7477, 0.7677, 0.7814