19, March 2013

USD/CHF (a 4 hour chart)

USD/CHF (a 4 hour chart)

General overview

Franks keeps growing.

Tenkan-Sen (0.9451) is above the Kijun-Sen (09473). Ichimoku Cloud has a horizontal formation.

The pair is being traded in the cloud that confirms the uncertain mood of the market. Tenkan-Sen, Kijun-Sen and the cloud formation just support that idea

Bollinger Bands are directed downwards and started to narrowing. The indicator points to the downward movement.

MACD is in the negative area and is directed to a positive area.

Trading recommendations

The pair is expected to return to the uptrend. After a sharp Friday fall a flat is possible.

In case of the correction our target is the level 0.9335.

Should the pair return to the upward direction, the price will move up to the cloud, to the level 0.9451. After consolidation at it the price will continue moving to the level 0.9486.

Take-profit should be set up by 5-10 points below the goals. After receiving a profit of 20-30 points we place stop loss to a breakeven.