Daily cycle in the pair is very stretched and a decent pull back could start at any moment but there is no confirmation yet that daily cycle has ended so trading strategy ns the shorter cycles is still to buy the dips in the sequence of 3, 7 and 11 swings. Pair has already done 3 waves down from “W” high followed by a connector in wave (( x)) and now it has scope to make another 3 wave push lower to do 7 swings. We don’t like selling the pair & expect to see buyers between 116.87 – 116.50 area and although long setup remains valid as far as pivot at 113.82 low remains intact in during system but as daily cycle is quite mature, so longs should be worried if we get below 115.20 and close. If pair fails to make the push lower and keeps consolidating sideways, we could be looking at an Elliott wave bullish triangle in wave X also.
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