Elliott wave Analysis: AUD/USD & USD/CHF

Elliott wave Analysis: AUD/USD & USD/CHF

AUD/USD

The Aussie/U.S. dollar (AUD/USD) currency pair made a strong and firm break below the 0.7512 bearish level and the lower corrective channel line, which is connected from May of 2018 lows. This break is a confirmation that corrective wave 4) ended at the 0.7677 level, and that a new five-wave drop is now in progress. We see it as red wave 5) of one, which can look for support around the 0.7343/0.7300 zone.


AUD/USD, 4-hour

 

USD/CHF 

The U.S. dollar/Swiss franc (USD/CHF) currency pair is trading higher today, unfolding a nice and clear bullish structure from the 0.9786 lows, which can be part of a higher degree blue wave five. Wave five is a motive wave, and must contain five waves in order to be regarded as valid. Currently, we see leg iii) of five in progress which is trading at major 0.9983 level, where a break above it would suggest more gains ahead.

USD/CHF, 4-hour

 

About the Author

Gregor Horvat, based in Slovenia, has been in the forex markets since 2003. He is a technical analyst and individual trader who has worked for Capital Forex Group and TheLFB.com. He also is founder of forex services on www.ew-forecast.com.