Since the June 4 high, the waves in the EURUSD have become muddied. We wrote about some possibilities the muddied picture presents on June 10 "EURUSD Bears Waking Up". At that point, we were leaning towards a multi-hundred pip sell off.
A sell off did ensue, but not near as deep as expected. With another week's worth of price action, the pair may be carving a (shown above). IF this is correct, prices would soon begin a burst higher while holding above 1.1150. This pattern would target 1.17 area.
As you'll see in the notes, option #2 is simply a more complex version of what we wrote about on June 10. (On the chart, see the tan 'ALT' notes.) In that count, we eventually sell off to 1.09-1.10. It is possible under that scenario to pay a visit to the 1.1375-1.1500 range first, though not required.
So with options #1 and #2 having some overlap on a possible move higher to 1.1375, there is an opportunity to trade to the long side using a stop loss near 1.1145. We are in the midst of a complex correction, so be conservative on trade sizes until the picture clears.