02, July 2014

USD/CHF (a 4 hour chart)

USD/CHF (a 4 hour chart)

General Overview

The frank corrected its gains against the dollar, however, in general it remains positive on the background of the U.S. economic not encouraging data. The pair falling returned the bears control over the market.

The price is finding the first support at 0.8850, the next one is at 0.8815. The price is finding the first resistance at 0.8890, the next one is at 0.8920. The price is under the Cloud and under Chinkou-Span, that’s a strong and confirmed sell signal. The downward movement remains until Kijun-Sen is above the price. The MACD indicator is in the negative territory.

Trading recommendations

We advise to short with the first target – 0.8850. When the pair consolidates below the first target, we can open deals to the level of 0.8815.