18, September 2014

USD/CHF (a 4 hour chart)

USD/CHF (a 4 hour chart)

General overview

The Swiss franc strengthened against the dollar's decline. The Switzerland producers’ prices and the imported goods prices continued to decline in August. The Swiss central bank expects that the low inflation period will last a long time.

Now the probable Fed interest rates rise by at least 25 bp at the September FOMC meeting the next year is 77% against 73% on 29 August.

The price is finding the first support at 0.9330, the next one is at 0.9270. The price is finding the first resistance at 0.9370, the next one is at 0.9430.

The price is on the Cloud and it is above the Chinkou Span. The Tenkan-sen showa a horizontal movement and the Kijun-sen shows a downward movement and form a “Dead Cross”. The upward movement will be until the price is above the Cloud.

The MACD indicator is in a neutral territory. The price is growing.

Trading recommendations

There is a high probability that the pair will test 94th figure. Still the consumer inflation along with the fed's comments can directly change the situation.