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Main scenario: consider short positions from corrections below the level of 1.0942 with a target of 1.0688 – 1.0613.
Alternative scenario: breakout and consolidation above the level of 1.0942 will allow the pair to continue rising to the levels of 1.1141 – 1.1350.
Analysis: a bearish wave of larger degree A is presumably completed on the daily chart. A bullish wave B started unfolding, with first wave 1 of (A) of B and corrective second wave 2 of (A) of B formed as its part. Apparently, the third wave 3 of (A) of B is developing on the H4 time frame, with wave i of 3 of (А) formed and bearish corrective wave ii of 3 continuing developing as its parts. Wave (с) of ii is presumably developing on the H1 time frame, with third wave of smaller degree iii of (c) forming as its part. If the presumption is correct, the EURUSD pair will continue to drop to the levels of 1.0688 – 1.0613. The level of 1.0942 is critical in this scenario. Its breakout will allow the pair to continue rising to the levels of 1.1141 – 1.1350.
Price chart of EURUSD in real time mode
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