USDCAD and USDCHF Aiming Higher – Elliott wave Analysis
USDCAD is making an aggressive turn from 1.2800 area, now already back above 1.2900 so we are considering that bottom can already be in place. We see wave 1) as part of a bigger, bullish cycle completed, and now corrective wave 2) in play.
Wave 2) is a correction within a trend and can take price lower for its three-wave pullback. Wave 2) can retrace towards the Fibonacci ratio of 50.0 or 61.8, which can represent an ideal turning point for the pair. That being said, a later rally above the 1.308 level would confirm more gains.
USDCHF is accelerating higher significantly following that break out of a wedge pattern recently, which confirmed a low in place. We see market rising in impulsive fashion, so it’s a trend change with more upside coming after any set-back, especially after a deeper wave 2. At the moment we see price unfolding final stages of wave 1, which can look for a top near the Fibonacci projection ratio of 261.8%, or around parity.
Disclosure: Please be informed that information we provide is NOT trading recommendation or investment advice. All of our work is for educational purposes only.
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