25, August 2014

USD/CHF (a 4 hour chart)

USD/CHF (a 4 hour chart)

General overview

The American currency pulled back from the 6th maximum area achieved the day before against major currencies in the Fed’s chief Yellen’s speech anticipation.

Fed official, George, said that the labor market growth suggested that rates could start to grow.

The price is finding the first support at 0.9090, the next one is at 0.9060. The price is finding the first resistance at 0.9130, the next one is at 0.9170.

There is a confirmed and a strong buy signal. The price is above the Cloud and it is above the Chinkou Span. The Tenkan-sen and the Kijun-sen show an upward movement and form a “Golden Cross”. The upward movement will be until the price is above the Cloud.

The MACD indicator is in a positive territory. The price is growing.

Trading recommendations

We advise to long with the first target - 0.9130. When the pair consolidates above the first target, we can start a deal to the level of 0.9170.