This article was first published on Orbex Forex Trading Blog.
This content is synced from the rightful owners. Copyright on text and images belong to the original source.
The USDCNH structure shows a bearish cycle correction b. This is a triple combination consisting of primary sub-waves Ⓦ-Ⓧ-Ⓨ-Ⓧ-Ⓩ.
At the time of writing, waves (A) and (B) of Ⓩ have ended. A downturn is then likely in wave (C) near 6.60.
At that level, cycle correction b will be at 61.8% of impulse a.
An alternative scenario shows that the intervening wave Ⓧ has not yet been formed.
Currently, intermediate impulse wave (A) has completed. and half-formed.
In the near future, bearish correction wave (B) is expected to complete this correction. Bulls could then push prices up in the intermediate wave (C) to the 6.81 area.
At this level, primary wave Ⓧ will be at 38.2% of wave Ⓨ.
A decent in the final wave Ⓩ could see prices below the previous low, formed by zigzag wave Ⓨ.
To keep reading this article, please navigate to: Orbex Forex Trading Blog.