08, April 2014

USD/CHF (a 4- hour chart)

USD/CHF (a 4- hour chart)

The franc fell down following the euro. The long-awaited the U.S. labor market report has not had any significant impact on the pair, as it actually was on the expected level. The number of new jobs in March was +192000 after a +175000 month earlier. The unemployment rate remained at 6.7% in March.

The first support is 0.8850, the next one is 0.8830. The first resistance is 0.8890.

The price is above the cloud and under Chinkou-Span, that’s a confirmed buy signal. The Kijun-sen is moving horizontally. The Tenkan-sen is directed down. The cloud is directed upwards. The northern movement remains until Kijun-Sen is located below the price.

MACD is still located in the positive area still the histogram is descending.

Trading recommendations

The pair is overbought. We expect a bounce down to 0.8890. If the reaches the first target it will move to 0.8850.