Fibonacci Retracements Analysis 11.05.2020 (GOLD, USDCHF)

XAUUSD, “Gold vs US Dollar”

As we can see in the H4 chart, XAUUSD continues consolidating in the form of a Triangle pattern between the high at 1747.77 and 23.6% fibo. The main scenario implies a breakout of the high and further growth towards the post-correctional extension area between 138.2% and 161.8% fibo at 1798.90 and 1858.60 respectively. At the same time, there might be another scenario, according to which, the instrument may form a new descending wave with the targets at 38.2% and 50.0% fibo at 1634.40 and 1599.50 respectively.

In the H1 chart, the pair is stuck between 23.6% fibo and the high at 1677.77 and 1747.77 respectively. The MACD indicator is moving above 0 and it’s a signal in favor of a further growth.

USDCHF, “US Dollar vs Swiss Franc”

As we can see in the H4 chart, the long-running correction is transforming from the Triangle into the Flat. If the price breaks the current channel’s upside border, the pair may grow to reach the local high at 0.9901 and even mid-term 76.0% fibo at 0.9982. At the same time, one shouldn’t exclude the possibility that the par may yet resume falling with the downside target at 61.8% fibo (0.9453).

In the H1 chart, the divergence made the pair start a new correctional decline, which has already reached 50.0% fibo. The next downside targets may be 61.8% and 76.0% fibo at 0.9663 and 0.9635 respectively, as well as the low at 0.9588. In the case of further growth, the upside target will be the local high at 0.9784.