Main scenario: consider long positions from corrections above the level of 1.0654 with a target of 1.0855 – 1.0950.
Alternative scenario: breakout and consolidation below the level of 1.0654 will allow the pair to continue declining to the levels of 1.0447 – 1.0256.
Analysis: a bearish wave of larger degree A is presumably completed on the daily chart. A bullish wave B started unfolding, with the first counter-trend wave 1 of (A) of B formed as its part. A downside correction appears to be forming as the second wave 2 of (A) of B on the H4 chart, with wave а of 2 of (А) formed and a local correction developing as wave b of 2 inside. Wave (a) of b and wave (b) of b are presumably formed on the H1 time frame, and wave (c) of b continues unfolding. If the presumption is correct, the pair will continue rising to the levels of 1.0855 – 1.0950. The level of 1.0654 is critical in this scenario. Its breakout will allow the pair to continue falling to the levels of 1.0447 – 1.0256.
Price chart of EURUSD in real time mode
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