On the daily chart, a correction of the higher level develops as a wave 2, taking a flat shape. Now the formation of the wave b of 2 is ending, within which the ending wave of the lower level v of (c) of b is forming. If the assumption is correct, after the end of the correction, the pair will fall to the level of 1.2887. In this scenario, critical stop loss level is 1.3470.
Main scenario
Short positions will become relevant below the level of 1.3470 with the target at 1.2887. Implementation period: 7 days and more.
Alternative scenario
The breakout and the consolidation of the price above the level of 1.3470 will let the pair grow to the level of 1.3574.
Trade
Scenario
Timeframe Weekly Recommendation SELL Entry Point 1.3392 Take Profit 1.2887 Stop Loss 1.3470 Key Levels 1.2887, 1.3470, 1.3574
Alternative scenario
Recommendation BUY STOP Entry Point 1.3475 Take Profit 1.3574 Stop Loss 1.3440 Key Levels 1.2887, 1.3470, 1.3574