Elliott wave Analysis: Silver and USDCHF Update

Intermediate

Today’s article is about silver and the USDCHF pair. Both are trading in a correction, which means both can see more weakness as we are in a bearish trend.

Silver is nicely dropping within an impulsive move (five legs in the direction of a trend) and can also be trading at the beginning of a corrective recovery. We are talking about wave iv, which can look for resistance and a bearish reversal near the Fibonacci ratio of 23.6/38.2 (15.26/15.35 region). That said, as we look closely, we can also see price trading right above the upper Elliott wave channel line connected down from 15.80 level, which can be first evidence that wave iv is in progress.

Once wave iv fully develops, that is when final wave v may follow.

Silver, 1h

intraday silver

USDCHF is trading impulsively bullish, but we still see it as part of a three-wave a)-b)-c) correction, especially because of a triangle in wave b), which can be confirming a corrective rise only. In such case be aware for resistance and a bearish reversal around Fibonacci ratio of 78,6% and 1.0060 area.

USDCHF, 1h

intraday usdchf

Elliot Wave Technical Analyst

Gregor Horvat is based in Slovenia and has been in the Forex market since 2003. He has been working for Capital Forex Group and TheLFB.com.

He is the owner of www.ew-forecast.com, which prov...continued

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