EURAUD – Correction May Be Complete, Bearish Scenario in Play

I’m currently interpreting the recent price action on EURAUD as a classic five-wave decline, followed by a three-wave corrective structure, likely in the form of a Zigzag. Notably, this correction ended around the 50% Fibonacci retracement level, which adds credibility to the bearish setup.

Trading plan:
Short positions may be considered after a confirmed breakout below wave B at 1.78730, which would indicate the resumption of the downtrend.

However, if price continues to rise and breaks through 1.85568, this scenario becomes invalid, and bearish setups should be abandoned.

Always let the market confirm your bias.