USDCHF: Correction Completed? Potential Short Setup Ahea
USDCHF appears to have completed a five-wave decline, followed by a three-wave corrective structure in the form of a Zigzag (ABC) upward. This pattern aligns with Elliott Wave principles, suggesting that the correction may be coming to an end, paving the way for the next downward movement.
Key confirmation for further decline will come if the price fails to break above wave B and instead breaks below the 0.90311 level. A clean breakdown of this level would indicate that the correction is complete, and the next impulsive wave downward is in progress.
However, if the price consolidates above this level or starts forming a more complex corrective structure, we may need to consider an alternative scenario, such as an extended correction or even a larger-degree wave formation.
Should watch for strong bearish price action and increased momentum before entering short positions.
Key confirmation for further decline will come if the price fails to break above wave B and instead breaks below the 0.90311 level. A clean breakdown of this level would indicate that the correction is complete, and the next impulsive wave downward is in progress.
However, if the price consolidates above this level or starts forming a more complex corrective structure, we may need to consider an alternative scenario, such as an extended correction or even a larger-degree wave formation.
Should watch for strong bearish price action and increased momentum before entering short positions.
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