The currency pair is rising.
On the 4-hour chart, the downward impulse of the higher-order wave A of (2) is forming, with the local correction developing as the fourth wave of the lower-degree wave IV of A. At present, the fourth wave is taking the form of a triangle, in which wave (D) of IV has already formed and wave (E) of IV has begun to develop. If this assumption is correct, the pair will rise toward the 1.1750 level in the short term. The 1.1573 level is the key level and stop-loss level under this scenario.
Trading Tips
Bullish investors may open long positions on a correction above 1.1573, with a target of 1.1750. The strategy is valid for 2-3 days.
Alternative Scenario
Bearish investors may open short positions on a correction below 1.1573, with a target of 1.1440-1.1320.