The trend is downward.
On the 4-hour chart the downward correction of the higher level is forming as a wave 2 of C. At the moment the downward momentum is developing as a wave c of 2, within which the fifth wave (v) of c is forming. If the assumption is correct, the pair will fall to the levels of 110.14–109.68. The level of 111.23 is critical for this scenario.
Main scenario
Short positions will become relevant during the correction, below the level of 111.23 with the targets at 110.14–109.68.
Alternative scenario
The breakout and the consolidation of the price above the level of 111.23 will let the pair grow to the level of 113.40.
Trade
Scenario
Timeframe Weekly
Recommendation SELL
Entry Point 110.77
Take Profit 110.14, 109.68
Stop Loss 111.35
Key Levels 109.68, 110.14, 111.23, 113.40
Alternative scenario
Recommendation BUY STOP
Entry Point 111.30
Take Profit 113.40
Stop Loss 110.60
Key Levels 109.68, 110.14, 111.23, 113.40
On the 4-hour chart the downward correction of the higher level is forming as a wave 2 of C. At the moment the downward momentum is developing as a wave c of 2, within which the fifth wave (v) of c is forming. If the assumption is correct, the pair will fall to the levels of 110.14–109.68. The level of 111.23 is critical for this scenario.
Main scenario
Short positions will become relevant during the correction, below the level of 111.23 with the targets at 110.14–109.68.
Alternative scenario
The breakout and the consolidation of the price above the level of 111.23 will let the pair grow to the level of 113.40.
Trade
Scenario
Timeframe Weekly
Recommendation SELL
Entry Point 110.77
Take Profit 110.14, 109.68
Stop Loss 111.35
Key Levels 109.68, 110.14, 111.23, 113.40
Alternative scenario
Recommendation BUY STOP
Entry Point 111.30
Take Profit 113.40
Stop Loss 110.60
Key Levels 109.68, 110.14, 111.23, 113.40