This runs a similar pattern to the GBPUSD we wrote about last week.
Traders can place their risk above the Aug 24 high while targeting new lows below 1.08.
There is an alternate view that suggests we are in a larger degree (X) wave that likely digs deeper. A move above 1.15 will enhance this count.
Sentiment is running with net sellers going into the FOMC meeting tomorrow. Be mindful of your trade size as is likely to pick up.
So long as resistance levels hold, we can continue to look lower. Prices may retrace to 1.12 but would need to stay below 1.1270 to keep the 3rd wave interpretation as the preferred view. A wave 3 should ultimately break 1.08 and pressure 1.04.
Keep in mind, a probabilistic view is not a certain view. We don't know for sure if this will happen...the probabilities appear shifted in that direction.