USD/CHF Elliott Wave

Since our last analysis the USD/CHF pair was trading in a downward move like we expected, impulsive (5) wave (coloured pink) of the bigger 3 wave (coloured blue) was developing. Yesterday during the European and the first half of the New York session we could observe descending movement from 0.9300 toward the 0.9552 level. Therefore, during the second half of the New York session this major pair did not manage to hold this level and the price started pushing higher reaching a new session high at 0.9297 level. Today the USD/CHF pair is trading around 0.9257 level and we are expecting to see the price higher today when development of the corrective 4 wave starts. In accordance with our wave rules and taking into account that the wave 4 should retrace 38.2% of the wave 3, we can define the potential targets with measuring wave 3 with take profit at 0.9310(38.2% of wave 3). To reduce the risk, we can use support at 0.9230 level as stop loss.

Support and Resistance

(S3) 0.9227 (S2) 0.9246 (S1) 0.9258 (PP) 0.9277 (R1) 0.9296 (R2) 0.9308 (R3) 0.9327

Trading Forecast

Proceeding from Elliott Wave rules today, the trend is expected to begin the upward movement. That is why long positions at level 0.9275 with stop loss 0.9230 and take profit at 0.93100 are recommended.