18, June 2013

USD/CHF (a 4 hour chart)

USD/CHF (a 4 hour chart)

General overview

On Friday, the pair USD/CHF was able to go above the level 0.9250, and thus canceled the further falling. The pair is still being traded in a price range, and it is clear that this growth will be continued.

The sell signal is strong and confirmed. Chinkou Span is located below the price, the price itself is below the Ichimoku cloud. So now the goal for the downward movement is the level 0.9215, which is reached by the price, but has not been worked out. If the pair manages to consolidate below this level it will open the road to a new target for the downward movement - 0.9160. The downward movement will be in force until the price is below the Kijun-Sen.

Bollinger Bands confirms the continuation of the downward movement its bands widen and are directed downward. It is recommended to consider short positions.

MACD is in a negative area, signaling a downward direction.

Trading recommendations

We see two scenarios.
The main one - the break above 0.918 will open the path to the levels 0.9280 и 0.9300.

The second scenario: We sell USD/CHF should the pair break 0.918 down. That break will direct the pair to the levels 0.9160 and 0.9110.