19, February 2014

USD/CHF (a 4- hour chart)

USD/CHF (a 4- hour chart)

General Overview

Frank continued to go up after the euro against the dollar.

From a technical point of view, the pair USD/CHF consolidates after testing support area 0.8890 (January 24 low). The immediate resistance is at 0.9060. If the pair is back above 0.9100 that will make our growth target 0.9140/50 and 0.9180 (maximum of 20 November).

The pair is below the Cloud that cancels the northern movement. Tenkan-sen is crossing Kijun-sen downwards. The cloud is decreasing. The southern movement remains until Kijun-Sen is located above the price.

Bollinger bands still show a downward movement; its bands are broadening confirming the sell signal.
MACD histogram is in a negative zone. The histogram is descending.

Trading recommendations

The pair, as well as the euro/dollar, almost did not change its position. Traders continue to buy it from the 89th figure. Still it cannot pass above 0.8927. The loss of the 89th figure will open the way to the support level near 0.8800. To improve prospects for the dollar must go back above 0.8900 and overcome resistance around 0.9040.