20, June 2014

USD/CHF (a 4 hour chart)

USD/CHF (a 4 hour chart)

General overview

The market worsening attitude to the dollar and the demand for the Swiss currency in the growing franc/yen will add pressure on the USD/CHF. The economic sentiment index fell in Switzerland according to ZEW-Credit Suisse to 4.8 in June from 7.4 in May had the negative impact on the market sentiment against the Swiss franc

The price is finding the first support at 0.8920, the next one is at 0.8890. The price is finding the first resistance at 0.8950, the next one is at 0.900.

The price is under the Cloud and under Chinkou-Span, that’s a strong and confirmed sell signal. The downward movement remains until Kijun-Sen is under the price.

Trading recommendations

We recommend the short positions with the first target - 0.8920. When the price consolidates below the first target it will go to the level 0.8880.