13, May 2016

USD/CHF (a 4-hour chart)

USD/CHF (a 4-hour chart)

General overview

Uncertainty regarding the future of global growth continued to pressure the US currency. The US published Initial Jobless Claims (294K vs. forecast 277K and the previous value 274K).

The price is finding the first support at 0.9660, the next one is at 0.9580. The price is finding the first resistance at 0.9750, the next one is at 0.9850.

There is a confirmed and a strong buy signal. The price is above the Ichimoku Cloud and it is above the Chinkou Span. The Tenkan-sen shows a horizontal movement and the Kijun-sen shows an upward movement forming a “Dead Cross”. The upward movement will be until the price is above the Cloud.

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

Trading recommendations

We recommend going long with the first target - 0.9750. When the price consolidates above the first target it may go to the level 0.9850.