04, February 2015

USD/CHF (a 4-hour chart)

USD/CHF (a 4-hour chart)

General overview

The pressure on the Swiss franc was caused by the SNB messages that the SNB would informally keep the franc against the euro within a specific corridor.

The US dollar was supported by the US labor market report. Nevertheless the franc slightly strengthened at the end of the day.

The price is finding the first support at 0.9150, the next one is at 0.8940. The price is finding the first resistance at 0.9340, the next one is at 0.9540.

There is a non-confirmed and a strong buy signal. The price is above the Cloud and it is above the Chinkou Span. The Tenkan-sen shows a downward movement and the Kijun-sen shows a horizontal movement. The upward movement will be until the price is under the Cloud.

The MACD indicator is in a positive territory. The price is correcting.

Trading recommendations

We advise to long with the first target - 0.9340. When the pair consolidates above the first target, we can open deals to the level of 0.9340.