Swiss Franc Reversal From Below 1.1700

Commentary: We wrote yesterday that "a drop below 1.1793 would potentially complete 5 waves from 1.1922 and give way to either a corrective rally or an outright reversal. Remember that the larger pattern has the USDCHF thrusting lower from a triangle and thrusts from triangles are terminal. It looks like one more low is needed before potential for a bigger bounce comes to the forefront.

That is, a drop below 1.1711 would make the decline from 1.1878 5 waves and gives scope to at least a corrective rally." That drop may have ended at 1.1677. Similar to the EURUSD, an opportunity presents itself on a 3 wave setback. Strategy: Flat