XAUUSD, “Gold vs US Dollar”
As we can see in the H4 chart, after updating the previous local high and breaking 38.2% fibo, XAUUSD couldn’t reach 50.0% fibo at 1919.00. At the same time, there was a divergence on MACD, which made the pair plunge. However, the asset may yet start a new rising impulse to reach a more significant target, 61.8% fibo at 1956.50. On the other hand, if the instrument continues falling and breaks the low at 1764.36, it will continue falling to reach its mid-term target at 38.2% fibo at 1725.37.
The H1 chart shows a more detailed structure of the current descending tendency after a divergence on MACD. By now, it has already broken 23.6% fibo and may later continue towards 38.2%, 50.0%, 61.8%, and 76.0% fibo at 1852.28, 1835.59, 1818.90, and 1798.66 respectively. However, a breakout of the local high at 1906.73 will result in further trend to the upside.
USDCHF, “US Dollar vs Swiss Franc”
As we can see in the H4 chart, after testing the post-correctional extension area between 138.2% and 161.8% fibo at 0.8886 and 0.8816 respectively, USDCHF has started a new correction towards the resistance area at 0.8999 because of the long-term convergence on MACD. After completing the correction, the asset may start another descending wave; the downside target is the long-term 50.0% fibo at 0.8707.
In the H1 chart, after breaking 236% fibo, the pair is still moving upwards to reach 38.2% fibo at 0.8926. Later, the market may continue growing towards 50.0% and 61.8% fibo at 0.8957 and 0.8990 respectively. A breakout of the support at 0.8822 will complete this local correction and result in further mid-term downtrend.
