Estimated pivot point is at the level of 1.2530.
Analysis: Presumably, the formation of the upward correction as the wave 4 of the senior level continues. Within this wave the wave b of 4 is being developed. Locally, it is likely that one-two first wave (i) has been formed and the downward correction in the wave (ii) is about to start. If this assumption is correct, the pair may continue to decline to 1.2317 – 1.2268. Critical level for this scenario is 1.2530.
Alternative scenario: Breakout and consolidation of the price above the level of 1.2530 will trigger further rise in the pair up to 1.2705.
Our opinion: Sell the pair from correction below the level of 1.2530 with the target of 1.2317 – 1.2268.