12, February 2014

USD/CHF (a 4- hour chart)

USD/CHF (a 4- hour chart)

General Overview

There were no significant changes on the market. Investors did not risk before the new Fed's Chairman Janet Yellen. In particular, the significant interest represents the view of the new head of the Central Bank at the further Fed’s actions, namely the rate of the asset purchase program collapse after the release of the recently rather weak data on the state of the U.S. labor market.
From a technical point of view the USD/CHF remains at low pressure. The support is at 0.8930 (minimums of January 29). The return above 0.9100 makes the target of the growth 0.9140/50 and 0.9180 (highs of November 20).

The pair is below the Cloud that cancels the northern movement. Tenkan-sen is crossing Kijun-sen downwards. The cloud is decreasing. The southern movement remains until Kijun-Sen is located above the price.

Bollinger bands still show a downward movement; its bands are broadening confirming the sell signal.
MACD histogram is in a negative zone. The histogram is descending.

Trading recommendations

Yesterday the pair fell to 0.8959, after that the dollar pulled back and traded lazily above this level. In the Asian session it fell to 0.8938. It seems that “bears” aim at the support in the area 0.8900, the breakdown of which will open the way to the 88th figure. The “bulls” still need to return the pair above 0.9118 to make its prospects constructive.