13, June 2014

USD/CHF (a 4 hour chart)

USD/CHF (a 4 hour chart)

General overview

The Switzerland franc consolidated in 30-point range just before the important statistics publication from the United States. These strong data will have to confirm the established opinion that the U.S. economy continues to gradually recover, and this may encourage the FED to increase the interest rates from the record low levels sooner that it has been announced. It is worth noting that the interest rates increase should support the dollar, because it is likely to support the investor income assets growth that are denominated in the U.S. currency.

The price is finding the first support at 0.8950. The resistance is at 0.9000.

The price is above the Cloud and above Chinkou-Span, we have a strong and confirmed buy signal. The Cloud is directed upwards. The upward movement remains until Kijun-Sen is under the price.

MACD is in the positive territory, the indicator is growing.

Trading recommendations

We recommend considering long positions with the target - 0.9000. If the price goes above the first target, we will buy to the level 0.9035.