CAD/CHF– Initial bullish phase nearing completion

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Updated: 28 April 2020

Good day traders! On the 30th of March (chart above), I wrote that the CAD/CHF might be bottoming after a 5-wave decline from the October 2019 high. Another interpretation, at the time, was that price might only correct higher with a final bottom still on the cards.

Fast forward to today, and it seems that the CAD/CHF is trading higher within the confines of two different channels. Price structure, since the low back in March, might also suggest that price is currently nearing a minor 5th– wave high, which could complete the initial wave higher of a much larger bullish phase.

Conclusion

I would expect price to break above the April 13th high at 0.6980 and possibly extend toward the upper line of the purple channel at around 0.7031 before a correction takes place. If price corrects lower at some stage, then I would consider it as a buying opportunity with much larger upside targets.

More updates to follow.

Bias: Bullish after correction

Near-term targets: 0.6980 and 0.7031

Until next time, have a great day and stay safe!

Richard Krugel