17, October 2014

USD/CHF (a 4 hour chart)

USD/CHF (a 4 hour chart)

General overview

The dollar exchange rate decreased with the stock quotations and the US bond yields after the US weak economic statistics.

The UK 10-year bond yields fell to 17-month low below 2 %.

The price is finding the first support at 0.9430, the next one is at 0.9370. The price is finding the first resistance at 0.9500, the next one is at 0.9560.

There is a non-confirmed and a weak sell signal. The price is under the Cloud and it is under the Chinkou Span. The Tenkan-sen shows a horizontal movement and the Kijun-sen show a downward movement and form a “Dead cross”. 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 recommend the short positions with the first target at 0.9370. If the first target is overcome, the next target will be 0.9330.