Though I had closed my trade in this pair earlier, I had said that I would wait longer for this wave (B) to finish. At least until the AB=CD was completed. Well, that has now completed. And dropped a little more. Which is what I wanted to see.
Though I have yet to see bullish price action, I am expecting wave (B) to end here or near here.
I am expecting a pretty large move up in a wave (C). This end of wave (B) will be the C point of the POTENTIAL bearish bat pattern as well. Being that is what I am expecting, then I would also expect that prices should not close below the .886 level. Which would be the lowest retrace of the AB leg of the bat to still be a bat. But since prices can still extend down past the .886, I won't place my stop there.
MY TRADE PLAN Again, buying@0.69900. Stops will go below the lows. Shooting for at least the completion of the cypher #2 if not the bat. I expect this trade to take more than a few days to complete. My stops on this trade is pretty large (+90 pips) but the R;R is more than 3:1 so well worth the risk. If +90 pips is too much risk, then should wait for prices to see if they drop a little more into the g-zone. Between the .786 and the .886 should be a good entry if it gets there.