09, December 2013

USD/CHF (a 4- hour chart)

USD/CHF (a 4- hour chart)

General Overview

Swiss Franc finished the trading session last week at the high level. In general, investors remain cautious before Non farm Payrolls report in the United States that can fix the drop in unemployment to its lowest level since 2008 of 7.2%.

The report released on Wednesday by ADP showed that in November in the private sector of the U.S. economy 215,000 new vacancies has been created, significantly exceeding the forecast of 160,000.

Tenkan-sen is crossed with Kijun-sen having formed a "Dead Cross". Chinkou Span crosses the price chart from the bottom up, the cloud remains falling. Tenkan-sen and Kijun-sen are following the price downwards. The Cloud is descending.

The pair will return to the upward movement if it gets back above the cloud. If the price returns above the Kijun-sen, the sell signal will be weakened and the further falling will be put under the question.

Bollinger Bands are directed downwards right now. Its bands are broadening. The MACD is at the negative zone approaching to the zero level.

Trading Recommendations

The pair is getting close to 0.8950. If it breaks this level the price will go towards to the October low 0.8890. A correction towards 0.8950 is possible.