This scenario is a monthly correction of EURUSD.
There is now a 4-hour upward wave, and after the rise, a daily correction process will come out. This will result in a retracement to the daily demand zone, which is where the daily upward wave propagates.
The monthly correction is completed only when a weekly rising wave or a weekly bullish pattern emerges from the daily uptrend. And, a monthly downtrend is expected to continue.
As for the risk point, if the 4-hour upward wave can no longer continue or the rebound fails in the daily demand zone, it becomes a correction pattern, so a daily downward wave can follow. Doing so will invalidate this analysis.
There is now a 4-hour upward wave, and after the rise, a daily correction process will come out. This will result in a retracement to the daily demand zone, which is where the daily upward wave propagates.
The monthly correction is completed only when a weekly rising wave or a weekly bullish pattern emerges from the daily uptrend. And, a monthly downtrend is expected to continue.
As for the risk point, if the 4-hour upward wave can no longer continue or the rebound fails in the daily demand zone, it becomes a correction pattern, so a daily downward wave can follow. Doing so will invalidate this analysis.