The exchange rate has stalled after breaking back into its channel. Wave 5 down is in the process of finishing. It is possible the correction has yet to play out, and it could bounce back up to 1.2950 again. After that there is likely to be more downside, however, with 1.2810 as the next target down followed by the bundle of pivots and the trend-line at 1.2775, which is the more significant downside target.
Written by Forex4you