The pair may grow.
On the 4-hour chart, a downward correction of the higher level developed as the wave (2), within which the wave C of (2) ended. Now, the development of the third wave (3) is beginning, within which the first wave of the lower level i of 1 of (3) was forming. If the assumption is correct, after the end of the correction ii of 1 the pair will grow to the levels of 1.2543–1.2704. In this scenario, critical stop loss level is 1.2060.
Main scenario
Long positions will become relevant during the correction, above the level of 1.2060 with the targets at 1.2543–1.2704. Implementation period: 7 days and more.
Alternative scenario
The breakout and the consolidation of the price below the level of 1.2060 will let the pair go down to the levels of 1.1900–1.1800.
Trade
Scenario
Timeframe Weekly
Recommendation BUY
Entry Point 1.2188
Take Profit 1.2543, 1.2704
Stop Loss 1.2060
Key Levels 1.1800, 1.1900, 1.2060, 1.2543, 1.2704
Alternative scenario
Recommendation SELL STOP
Entry Point 1.2050
Take Profit 1.1900, 1.1800
Stop Loss 1.2110
Key Levels 1.1800, 1.1900, 1.2060, 1.2543, 1.2704
On the 4-hour chart, a downward correction of the higher level developed as the wave (2), within which the wave C of (2) ended. Now, the development of the third wave (3) is beginning, within which the first wave of the lower level i of 1 of (3) was forming. If the assumption is correct, after the end of the correction ii of 1 the pair will grow to the levels of 1.2543–1.2704. In this scenario, critical stop loss level is 1.2060.
Main scenario
Long positions will become relevant during the correction, above the level of 1.2060 with the targets at 1.2543–1.2704. Implementation period: 7 days and more.
Alternative scenario
The breakout and the consolidation of the price below the level of 1.2060 will let the pair go down to the levels of 1.1900–1.1800.
Trade
Scenario
Timeframe Weekly
Recommendation BUY
Entry Point 1.2188
Take Profit 1.2543, 1.2704
Stop Loss 1.2060
Key Levels 1.1800, 1.1900, 1.2060, 1.2543, 1.2704
Alternative scenario
Recommendation SELL STOP
Entry Point 1.2050
Take Profit 1.1900, 1.1800
Stop Loss 1.2110
Key Levels 1.1800, 1.1900, 1.2060, 1.2543, 1.2704