USDCNY About to Test a Historic Support
USDCNY's downtrend accelerated earlier today following the release of the surprising crunch in China's trade surplus, underpinning falling global demand.
The downtrend is taking the form of a 1-5 impulse wave pattern, as postulated by the Elliott Wave Theory. Seeing as how the price action is currently in the process of developing the final impulse leg (4-5), a bullish pullback may be due soon.
On the other hand, the ADX indicator continues to thread above the 25-point mark, highlighting the strength of the downtrend.
The downtrend is taking the form of a 1-5 impulse wave pattern, as postulated by the Elliott Wave Theory. Seeing as how the price action is currently in the process of developing the final impulse leg (4-5), a bullish pullback may be due soon.
On the other hand, the ADX indicator continues to thread above the 25-point mark, highlighting the strength of the downtrend.
