The pair is in a correction and can grow.
On the 4-hour chart, the downward correction of the higher level develops as a wave (2). Locally the wave C of (2) is forming, within which the third wave of the lower level iii of C has formed as a momentum, and the upward correction iv of C is developing. If the assumption is correct, the pair will grow to the level of 1.2870. The level of 1.2660 is critical and stop loss for this scenario.
Main scenario
Long positions will become relevant during the correction, above the level of 1.2660 with the target at 1.2870. Implementation period: 5–7 days.
Alternative scenario
The breakdown and the consolidation of the price below the level of 1.2660 will let the pair go down to the levels of 1.2580–1.2500.
Trade
Scenario
Timeframe Weekly
Recommendation BUY
Entry Point 1.2740
Take Profit 1.2870
Stop Loss 1.2660
Key Levels 1.2500, 1.2580, 1.2660, 1.2870
Alternative scenario
Recommendation SELL STOP
Entry Point 1.2650
Take Profit 1.2580, 1.2500
Stop Loss 1.2685
Key Levels 1.2500, 1.2580, 1.2660, 1.2870
On the 4-hour chart, the downward correction of the higher level develops as a wave (2). Locally the wave C of (2) is forming, within which the third wave of the lower level iii of C has formed as a momentum, and the upward correction iv of C is developing. If the assumption is correct, the pair will grow to the level of 1.2870. The level of 1.2660 is critical and stop loss for this scenario.
Main scenario
Long positions will become relevant during the correction, above the level of 1.2660 with the target at 1.2870. Implementation period: 5–7 days.
Alternative scenario
The breakdown and the consolidation of the price below the level of 1.2660 will let the pair go down to the levels of 1.2580–1.2500.
Trade
Scenario
Timeframe Weekly
Recommendation BUY
Entry Point 1.2740
Take Profit 1.2870
Stop Loss 1.2660
Key Levels 1.2500, 1.2580, 1.2660, 1.2870
Alternative scenario
Recommendation SELL STOP
Entry Point 1.2650
Take Profit 1.2580, 1.2500
Stop Loss 1.2685
Key Levels 1.2500, 1.2580, 1.2660, 1.2870