• 287 days Will The ECB Continue To Hike Rates?
  • 288 days Forbes: Aramco Remains Largest Company In The Middle East
  • 289 days Caltech Scientists Succesfully Beam Back Solar Power From Space
  • 689 days Could Crypto Overtake Traditional Investment?
  • 694 days Americans Still Quitting Jobs At Record Pace
  • 696 days FinTech Startups Tapping VC Money for ‘Immigrant Banking’
  • 699 days Is The Dollar Too Strong?
  • 699 days Big Tech Disappoints Investors on Earnings Calls
  • 700 days Fear And Celebration On Twitter as Musk Takes The Reins
  • 702 days China Is Quietly Trying To Distance Itself From Russia
  • 702 days Tech and Internet Giants’ Earnings In Focus After Netflix’s Stinker
  • 706 days Crypto Investors Won Big In 2021
  • 706 days The ‘Metaverse’ Economy Could be Worth $13 Trillion By 2030
  • 707 days Food Prices Are Skyrocketing As Putin’s War Persists
  • 709 days Pentagon Resignations Illustrate Our ‘Commercial’ Defense Dilemma
  • 710 days US Banks Shrug off Nearly $15 Billion In Russian Write-Offs
  • 713 days Cannabis Stocks in Holding Pattern Despite Positive Momentum
  • 714 days Is Musk A Bastion Of Free Speech Or Will His Absolutist Stance Backfire?
  • 714 days Two ETFs That Could Hedge Against Extreme Market Volatility
  • 716 days Are NFTs About To Take Over Gaming?
The Problem With Modern Monetary Theory

The Problem With Modern Monetary Theory

Modern monetary theory has been…

Is The Bull Market On Its Last Legs?

Is The Bull Market On Its Last Legs?

This aging bull market may…

  1. Home
  2. Markets
  3. Other

USDCHF: Bearish Waves Are Pointing Towards 0.9050

USDCHF is showing some nice sharp downside price action after recent sharp fall to 0.9100 area which appears to be wave three of three of an impulsive structure. If that's the case then we know that market will move even lower in sessions ahead but after a completed fourth wave pull-back that is now in progress. Ideally pair will test 0.9150 area before downtrend resumes. Generally speaking trend is clearly bearish on the 4h time frame posted below and it will stay down as long as 0.9228 level is not breached because we know that wave four must not trade into a temerity of a wave one.

USDCHF: Bearish Waves Are Pointing Towards 0.9050 Chart


Impulse is the most common motive wave.

Typical Elliott Wave Impulsive Pattern

• wave 1 must be an impulse or a leading diagonal
• wave 2 can be any corrective pattern except a triangle
• wave 2 must not retrace more than 100% of wave 1
• wave 3 must be an Impulse.
• wave 3 must be longer than wave 2
• wave 4 can be any corrective pattern (zig-zag, double or triple zig-zag, triangle, flat, double or triple three)
• waves 4 must not trade into a territory of a wave 1
• wave 5 must be an impulse or an ending diagonal
• wave 3 must never be the shortest wave when compared to waves 1 and 5.


Impulse extension

Most impulses contain what Elliott called an extension. An extension is an elongated impulse with exaggerated subdivisions. The vast majority of impulses contain an extension in one and only one of their three actionary subwaves.

The fact that extension typically occurs in only one actionary subwave provides a useful guide to the expected lengths of upcoming waves. For instance, if the first and third waves are about equal length, the fifth wave will likely be a protracted surge. Conversely, if wave three extends, the fifth should be simply constructed and resemble wave one. In the market, the most commonly extended wave is wave 3.

Impulsive Elliott Wave Patterns Chart 2

 


Written by www.ew-forecast.com | Try EW-Forecast.com's Services Free For 7 Days at http://www.ew-forecast.com/service

 

Back to homepage

Leave a comment

Leave a comment