21, August 2013

USD/CHF (a 4 hour chart)

USD/CHF (a 4 hour chart)

General Overview

USD/CHF continues to work out a sell signal on a daily chart. Sell signal is seen at 4 hour chart as well. The correction seems to be over. The pair is falling, USD/CHF is being traded below the Cloud. The first target is the support 0.9174. The pair just tested the level yesterday, if the downward movement continues USD/CHF goes to 0.9126. The current sell signal is strong, as Chinkou span entrenched above the price, and the price is below the Ichimoku cloud.

Kijun-Sen and Tenkan-Sen are crossed in a descending "dead cross" on a daily chart. Tenkan-sen is in the cloud, the Kijun-sen line is above Senkou Span B and is moving in a horizontal direction. The cloud is directed down. The downward movement will be continued as long as the price is below the Kijun-sen.

Bollinger Bands indicator follows the price down.
The MACD histogram is still located in the negative zone and below the signal line, the indicator continues to decline sending a signal to sell.

Trading Recommendations

The pair is falling to the first target – 0.9174. Should the pair consolidate below this level the price might go to 0.9126.