20, November 2013

USD/CHF (a 4 hour chart)

USD/CHF (a 4 hour chart)

General Overview

The pair was corrected downwards last week after forming a double top. Now the price will move down, testing the 0.9080— 0.9050 area. The nearest resistance is located around 0.9160. A clear break of this level could lead the price to a neutral zone, testing the 0.9200 mark, the break of which will lead to the termination phase of the downward movement which will be followed by the retest of the key resistance 0.9250.

Tenkan-sen is crossed with Kijun-sen having formed a "Dead Cross". Chinkou Span crosses the price chart from the bottom up, the cloud remains growing. Tenkan-sen and Kijun-sen are following the price downwards.

The pair will return to the upward movement if it gets back above the cloud. If the price returns above the Kijun-sen, the sell signal will be weakened and the further falling will be put under the question.

Bollinger Bands are directed downwards right now.
The MACD is at the negative zone.

Trading Recommendations

Buying relegated to the second place. Pair is falling. The break below the cloud and consolidation below it will be a good signal to a decrease. The first goal is 0.9090 and the second is 0.9060.