USDCHF suggests a bearish wave z consisting of primary corrective sub-waves Ⓦ-Ⓧ-Ⓨ-Ⓧ-Ⓩ.The move takes the form of a triple zigzag.
Prices are currently structuring a primary wave Ⓧ which takes the form of a flat (A)-(B)-(C). With (A) and (B) looking fully completed, impulse (C) is still under development.
We could then see an upside in the intermediate impulse (C). This level of 0.923 will be near the previous high.
Once wave Ⓧ is completed we could then see the market decline in the primary wave Ⓩ near the 0.895 area. At that level wave Ⓩ will be at the 61.8% of zigzag Ⓨ.
Alternatively, the intervening wave Ⓧ could take the form of a bullish zigzag (A)-(B)-(C).
In the short term we could expect growth in the primary impulse (C) to the 0.935 area. At that level wave Ⓧ will be at the 61.8% of zigzag wave Ⓨ.
Therefore, the decline in the final wave Ⓩ may be possible.Test your strategy on how the CHF will fare with Orbex - Open Your Account Now.