Main scenario: consider short positions from corrections below the level of 0.9049 with a target of 0.8807 – 0.8706.
Alternative scenario: breakout and consolidation above the level of 0.9049 will allow the pair to continue rising to the levels of 0.9242 – 0.9352.
Analysis: a downside fifth wave of larger degree (5) is presumably unfolding on the daily time frame, with wave 1 of (5) formed as its part. A bullish correction is currently unfolding as second wave 2 of (5). Wave of smaller degree a of 2 is formed on the H4 time frame, and a descending correction is developing as wave b of 2. Apparently, wave (a) of b is formed and a correction is completed as wave (b) of b on the H1 time frame. Wave (c) of b is currently unfolding, with a local correction forming as wave iv of (c) inside. If the presumption is correct, the pair will continue to fall to the levels 0.8807 – 0.8706 after the local correction is complete. The level of 0.9049 is critical in this scenario. Its breakout will allow the pair to continue rising to the levels of 0.9242 – 0.9352.
Price chart of USDCHF in real time mode
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