On the daily chart the upward correction (4) of the higher level has formed. At the moment the development of the fifth wave (5) has begun, within which the downward entering momentum of the lower level (i) has formed, and the upward correction (ii) is developing. If the assumption is correct, the pair will go down to the level of 0.7500 after the end of the correction. The level of 0.8133 is critical for this scenario.
Main scenario
Short positions will become relevant after the end of the correction (ii) below the level of 0.8133 with the target at 0.7500.
Alternative scenario
The breakout and the consolidation of the price above the level of 0.8133 will let the pair grow to the level of 0.8250.
Trade
Scenario
Timeframe Weekly Recommendation SELL Entry Point 0.7876 Take Profit 0.7500 Stop Loss 0.8000 Key Levels 0.7500, 0.8133, 0.8250
Alternative scenario
Recommendation BUY STOP Entry Point 0.8140 Take Profit 0.8250 Stop Loss 0.8080 Key Levels 0.7500, 0.8133, 0.8250