On the weekly on the USDCHF we are in a corrective ascending structure. On the daily TF within this channel we have also formed another ascending channel, which we have just seen a retracement off the the third impulse or push.
On the 4hr this third push is represented as a flag and it will be the breakout of this flag that will determine if there is a possible entry of the short trade. If price breaks out of the daily ascending channel to the upside and creates a continuation of the previous bullish momentum it will be invalided. If price is to push lower then there is also the opportunity for it to impulse even lower and break the daily ascending channel.
On the 4hr this third push is represented as a flag and it will be the breakout of this flag that will determine if there is a possible entry of the short trade. If price breaks out of the daily ascending channel to the upside and creates a continuation of the previous bullish momentum it will be invalided. If price is to push lower then there is also the opportunity for it to impulse even lower and break the daily ascending channel.
Comment:
First Target for profit taking achieved, will wait to see if it breaks out of the expanding wedge.