EUR/USD, H6 time frame:

A very interesting and rare situation for the EUR/USD pair can be observed.

Wave 4 is forming, which is almost completed and is the wave plane [A]-[B]-[C].

Wave [C] is an impulse that has almost been done. It consists of sub-waves (1)-(2)-(3)-(4)-(5), marked with blue numbers.

The most important thing here is that wave (5), which is now being formed, is the final diagonal.

There is a rule that the price should move in the direction opposite to the current trend after the end of the final diagonal.

This means that after the completion of wave (5), and then the entire wave [C] and 4, the market will sharply rise in a new bullish trend.

Now, let's take a closer look at the situation to determine a possible entry point.

EUR/USD, H1 time frame:

The markup of the entire final diagonal (5) of [C] of 4 can be seen. It consists of sub-waves 1-2-3-4-5 and is marked with red numbers.

At the moment, a small sideways correction wave 4 is being formed. Once it is completed near the level of 1.181, we will most likely see a decline in wave 5.

Since wave 5 is the last wave of the final diagonal, it must take a zigzag form. This small zigzag can be completed around the level of 1.173, after which we will see a sharp acceleration of the price.

It should be noted that a buy limit order can be placed in the area of the 1.173 level to take profit in the upcoming new bullish trend.

When will the new trend start?

Let's talk about when one can expect the start of a new bullish trend. Given the fact that there is usually a powerful movement in the direction opposite to the previous trend after the final diagonal, it can be assumed that this strong movement will occur on the news.

Important news will be published on Thursday, July 29. It is on this day that the full completion of the final diagonal is expected and a sharp price surge.

On Thursday, we will see the Fed's decision on the interest rate, the publication of the ECB's monetary policy minutes, as well as the number of initial applications for unemployment benefits, which is extremely important, because this news comes out once a month and usually it has a very strong impact on the market. It is this news that can dramatically affect the market and form a strong movement on which one can earn good profit.

In conclusion, it is suggested to place a buy limit order from the level of 1.173. This will most likely work out on Thursday and after that, the price will sharply rise. However, one should remember to control the risks! This is only a personal vision of the market and trading recommendation. A trader should be responsible for all the decisions he made.