USD/CHF Elliott Wave
Last week the USD/CHF pair finished developing of the impulsive wave (1) (coloured green) of the bigger (A) wave (coloured orange). During the Friday's European session the USD/CHF pair we could observe an ascending movement towards the 0.9810 level and we can consider this move as the end of the 4 wave of the bigger wave (1). Therefore, during the New York session this major did not manage to hold this level and the price reached a new low at 0.9695 (5 wave end). Today the USD/CHF pair was trading in an upward move and we are expecting to see continuation of this bullish mood. In accordance with our wave rules and taking into account that the wave 2 retraces 61.8% of the wave 1, we can define the potential targets with Fibonacci retracements (0.9970-09695) with Take Profit 1 at 0.9832 (50% of wave 1) and Take Profit 2 at 0.9865(61.8% of wave 1). Support at 0.9740 can be used as Stop Loss.
Support and Resistance
(S3) 0.9636 (S2) 0.9680 (S1) 0.9706 (PP) 0.9750 (R1) 0.9794 (R2) 0.9820 (R3) 0.9864
Trading Forecast
Proceeding from Elliott Wave rules today, the trend is expected to begin the upward movement. That is why long positions at level 0.9800 with Stop Loss 0.9740 Take Profit 1 at 0.9832 and Take Profit 2 at 0.9865 are recommended.