The trend is downward.
On the 4-hour chart the fifth wave of the higher level (5) is developing. Locally the downward momentum is forming as a first wave of the lower level 1 of (5), within which the development of the third wave iii of 1 is ending. If the assumption is correct, the pair will fall to the level of 0.7400 after the end of the correction iv of 1. The level of 0.7724 is critical for this scenario.
Main scenario
Short positions will become relevant after the end of the correction, below the level of 0.7724 with the target at 0.7400.
Alternative scenario
The breakout and the consolidation of the price above the level of 0.7724 will let the pair grow to the level of 0.7894.
On the 4-hour chart the fifth wave of the higher level (5) is developing. Locally the downward momentum is forming as a first wave of the lower level 1 of (5), within which the development of the third wave iii of 1 is ending. If the assumption is correct, the pair will fall to the level of 0.7400 after the end of the correction iv of 1. The level of 0.7724 is critical for this scenario.
Main scenario
Short positions will become relevant after the end of the correction, below the level of 0.7724 with the target at 0.7400.
Alternative scenario
The breakout and the consolidation of the price above the level of 0.7724 will let the pair grow to the level of 0.7894.