USDCHF: Bulls Target 1.0080 on Double Zig-Zag Pattern

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We talked about USDCHF a few sessions back. The current formation hints to a double zigzag pattern consisting of primary waves Ⓦ-Ⓧ and Ⓨ.

Waves Ⓦ and Ⓧ were fully completed at the 0.9665 low, whereas wave Ⓨ is more than halfway through its completion at the time of writing.

Wave Ⓨ is most likely going to form another double zigzag, similarly to wave Ⓦ. It consists of intermediate sub-waves (W)-(X) and (Y).

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A closer look at the 1H timeframe shows that intermediate waves (W) and (X) have completed their course and now a minor A,B,C zigzag is underway. This one will put an end to the intermediate wave (Y), thus, also conclude the primary corrective move.

During the next trading week (most probably it won’t take longer) we could expect a bullish correction near the 1.0080 area. Waves A and C could form an impulsive 5-wave pattern; however, minor wave C could also turn out to be an ending triangle (or contain a minute degree ending triangle on the last 5th leg).

Note that the target area is the 1.618% Fibonacci extension of intermediate waves (W) and (X), starting from the low formed by minor wave B at 0.9850.usdchf 4h

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