The USDCHN currency pair has completed an intervening wave x of a cycle degree. Now we can see the initial part of a new zigzag pattern.
Perhaps now we are in a bullish impulse wave Ⓐ of the primary degree, in the intermediate sub-waves (1)-(2)-(3)-(4)-(5). The intermediate correction wave (4) has ended as a double W-X-Y zigzag.
Thus, in the near future, with wave (5) going up, prices could rise above the level of 6.588, at the primary correction wave Ⓑ. At that level, minor wave 3 is likely to end, as shown in the chart.
An alternative scenario indicates an incomplete cycle intervening wave x. It takes the form of a double zigzag Ⓦ-Ⓧ-Ⓨ.
Apparently, as part of the final primary wave Ⓨ, which also looks like a double zigzag of a smaller wave level, the intermediate intervening wave (X) in the form of a triple zigzag has come to an end.
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In the near future, analysts expect the market to continue declining in the actionary wave (Y). This wave is only half-complete.
Additionally, the bears can send the market to 6.29. At that level, wave (Y) will be at the 100% Fibonacci extension of wave (W).
Article by Orbex
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