The pair is in a correction and may grow.
On the daily chart, the first downward wave of the higher level (1) of 3 developed, and an upward correction develops as the wave (2). Now, the wave A of (2) has formed, and a local correction is ending as the wave B of (2), within which the development of the wave c of B is ending. If the assumption is correct, after the end of the correction, the pair will grow to the levels of 0.9500–0.9667. In this scenario, critical stop loss level is 0.8751.
Long positions will become relevant after the end of the correction, above the level of 0.8751 with the targets at 0.9500–0.9667. Implementation period: 7 days and more.
Alternative Scenario
The breakdown and the consolidation of the price below the level of 0.8751 will let the pair go down to the levels of 0.8600–0.8400.
Timeframe: Weekly
Recommendation: Buy
Entry Point: 0.9039
Take Profit: 0.9500, 0.9667
Stop Loss: 0.8751
Key Levels: 0.8400, 0.8600, 0.8751, 0.9500, 0.9667
Timeframe: Weekly
Recommendation: Sell Stop
Entry Point: 0.8750
Take Profit: 0.8600, 0.8400
Stop Loss: 0.8810
Key Levels: 0.8400, 0.8600, 0.8751, 0.9500, 0.9667
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