22, January 2015

USD/CHF (a 4-hour chart)

USD/CHF (a 4-hour chart)

General overview

The US dollar traded rather moderately against the Swiss franc on speculations that the Fed was going to raise interest rates while other major central banks are planning to implement stimulating measures for economic growth and inflation recovery.

The price is finding the first support at 0.8740, the next one is at 0.8540. The price is finding the first resistance at 0.8940, the next one is at 0.9150.

There is a confirmed and a strong sell signal. The price is under the Cloud and it is under the Chinkou Span. The Tenkan-sen shows a downward movement and the Kijun-sen shows a horizontal movement. The downward movement will be until the price is under the Cloud.

The MACD indicator is in a negative territory. The price is consolidating.

Trading recommendations

We advise to short with the first target - 0.8540. When the pair consolidates below the first target, we can open deals to the level of 0.8340.