27, February 2013

USD/CHF (a 4 hour chart)

USD/CHF (a 4 hour chart)

General overview

Yesterday, as we expected, the pair continued falling. Frank tested 0.9335 and bounced from it back. We expect the pair work out this level today.

The Chinkou Span is above the price chart and the price is above the Ichimoku cloud that's a very bearish pattern.

The first goal is 0.9406. Still the price will move to this level after working out the level 0.9335.

After overcoming this resistance level the price should go to 0.9451. The upward movement will continue as long as the price is above the Kijun-Sen 0.9282. If the price is fixed below this level the signal to buy will be canceled.

The Chinkou Span is above the price chart.

Bollinger Bands and MACD confirm the northern movement.

Trading recommendations

We have a strong buy signal. It is advised to go long. The first target of the upward movement is 0.9406, the second is 0.9451.

Stop-loss is better to place below the Kijun (0.9282). Take-profit is set by 5-10 points below the target levels.