Globally, the wave pattern of the EUR/USD pair still looks quite convincing and it seems that wave 4 is quite complete. If this assumption is correct, then the quotes' growth will continue from the current levels within the construction of wave 5 with targets located above the high of the expected wave 4. This means that this pair will rise to at least 20 figures and most likely even higher. On the other hand, there is currently no discussion about the downward wave 4.
In the smaller time frames, the wave pattern shows that three waves of a smaller order built inside the assumed wave 4 have already completed its formation. Yesterday, the instrument lost about 50 pips, however, we can assume that it is still within the framework of wave 5 of the upward trend section. So far, there are no prerequisites for completing the growth of the instrument's quotes.
In terms of news background, yesterday was quite interesting for the euro/dollar pair. First, there were speeches by Christine Lagarde and Jerome Powell. Second, Donald Trump was discharged from the hospital, although he hasn't recovered from COVID-2019.
During Lagarde's speech, she said that economic recovery will slow down due to the second wave of the epidemic. On the other hand, Jerome Powell called on the US Congress to pass a new aid package to the US economy as soon as possible. He said that too little support will lead to poor recovery, creating unnecessary hardships for households and businesses and noted that Congress should not be afraid to provide excessive assistance to the economy, since all excess funds will not be wasted, and the economic recovery will advance more quickly. However, President Donald Trump announced that he had ordered to suspend any negotiations on a new aid package until the presidential election. The latest Democratic proposal amounting to $ 2.2 trillion is not ideal for the Republicans, which led to its rejection. Trump expects to win the election and only then will he be ready to provide the economy with a "big aid package."
Due to this, the demand for the US currency may start falling again in the near future, which corresponds to the current wave pattern that is assumed to create another upward wave.
General conclusions and recommendations:
Since, the euro/dollar pair has presumably completed the formation of correctional wave 4, I suggest buying the pair with goals located near the calculated level of 1.2012, equating to 0.0% Fibonacci.
