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The pattern started when the pair bounced from 1.2407 and slowed down at 1.2083 after testing pattern's resistance band at 1.2693 and 1.2324. The Stochastic indicator on 4H horizon is sending buy signal indicating that we might see some price correction in the near future. The SWFX market sentiment shows that 65% of traders are anticipating appreciation of the pair as well. Long traders could set the first target at the recent peak at 1.2133. If this level is breached, next targets could be set at the last week's lowest price at 1.2144, recent pattern's support test level at 1.2162 and daily retracement (Fibonacci) level at 1.2196.
Technical indicators on aggregate point at the further depreciation of the pair on 1H, 4H and 1D outlooks suggesting that the pair will continue to follow the pattern's trend. Short traders could focus on the July 23rd low at 1.2067. If this level is breached next targets could be at daily retracement (Fibonacci) levels at 1.2064 and 1.2039 and, if the pair maintains the same momentum, on the pattern's support band and psychological level at 1.2000.
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