16, December 2014

USD/CHF (a 4-hour chart)

USD/CHF (a 4-hour chart)

General overview

The Swiss franc consolidates against the dollar.

The US industrial production volumes will point out to the solid growth in November, + 0.8% m / m vs. -0.1% m/m earlier, but the consumer prices will point out to the index decrease in the same month - by 0.1% m/m and 1.5% y/y after 0.0% m/m, 1.7% y/y. However, the main event of this week will be the next Fed meeting decision.

The price is finding the first support at 0.9620, the next one is at 0.9560. The price is finding the first resistance at 0.9680, the next one is at 0.9750.

There is a confirmed and a strong sell signal. The price is under the Cloud and it is under the Chinkou Span. The Tenkan-sen and the Kijun-sen show a downward movement. The downward movement will be until the price is under the Cloud.

The MACD indicator is in a negative territory. The price is consolidating.

Trading recommendations

We advise to short with the first target - 0.9560. When the pair consolidates under the first target, we can open deals to the level of 0.9500.