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USDCHF Elliott Wave Analysis Trading Lounge 4 Hour  Chart, 2 February 2024

U.S.Dollar/Swiss Franc(USDCHF) 4 Hour Chart

USDCHF Elliott Wave Technical Analysis

FUNCTION: Trend

MODE: impulsive

STRUCTURE: blue wave 3 of black wave 5

POSITION:  Red wave C

DIRECTION NEXT HIGHER DEGREES: blue wave 4 of 5

DETAILS: blue wave 2 looking completed at 0.86872. Now blue wave 3 of black wave 5 is in play.  Wave Cancel invalid level: 0.86565

The "USDCHF Elliott Wave Analysis Trading Lounge 4 Hour Chart" dated February 2, 2024, provides a comprehensive analysis of the U.S. Dollar/Swiss Franc (USDCHF) currency pair using Elliott Wave Technical Analysis.

The identified "FUNCTION" is "Trend," suggesting a focus on capturing the directional movement of the market. In this case, the analysis is oriented towards understanding and trading in the direction of the prevailing trend.

The specified "MODE" is "Impulsive," indicating that the market is currently exhibiting impulsive price movements. Impulsive waves are characterized by strong, directional price action, and traders often seek to capitalize on such movements.

The "STRUCTURE" is labeled as "Sub Waves of black wave 5," which refers to a detailed breakdown of the ongoing wave count within the broader structure of black wave 5. This provides a more granular view of the price action.

The "POSITION" is defined as "Red wave C," indicating the current position within the broader wave count. Red wave C is part of the Elliott Wave labeling and typically represents a corrective wave within the larger structure.

In terms of "DIRECTION NEXT LOWER DEGREES," the analysis points to "Black wave 5 (continue)," suggesting that the current impulsive movement is expected to persist, forming the next lower degree of the Elliott Wave structure.

The "DETAILS" section notes that "Black wave 4 looking completed at 0.87310." This implies that the corrective wave labeled as black wave 4 has likely concluded, and the market is now in the early stages of black wave 5.

The "Wave Cancel invalid level" is specified as "0.87310." This level is crucial for traders as it serves as a reference point. A breach of this level could potentially invalidate the current wave count, prompting a reassessment of the market outlook.

In summary, the USDCHF Elliott Wave Analysis for the 4-hour chart on 2 February 24, indicates an impulsive movement within the broader context of black wave 5. Traders are advised to closely monitor the market dynamics, especially the invalidation level at 0.87310.

Technical Analyst: Malik Awais

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