The strong move lower has been counted as a correction of larger degree for now due to the inner wave structure.
Nevertheless we can clearly spot the current consolidation. A break lower will present good selling opportunities as shown by means of the Red-Green-Red arrows. If however this current daily candle shows a strong impulse on lower time frames we should be looking for a consolidation and continuation for another leg higher towards 0.68.
Updates will follow.
'If however this current daily candle shows a strong impulse on lower time frames we should be looking for a consolidation and bullish continuation for another leg higher towards 0.68.'
The chart shows how I traded this pair bullish, original stop below consolidation and target is 0.68 minimum (R/R 4,5/1). If price consolidates before the target has been reached I will look for another break on lower time frames.
However the current stop is at Break-Even and we have a lot of US data on the agenda so I won't chase another entry. This is mainly an update to show how I adjust to the price action and where I am looking for in trading.
However I agree that the structure might unfold in a more complex corrective pattern. Hence the note about the possible bullish trade depending on lower time frame structure for a possible trade within this structure.