29, May 2014

USD/CHF (a 4 hour chart)

USD/CHF (a 4 hour chart)

General overview

The dollar rose to seven -week high after the report showed an unexpected increase in orders for durable goods in April.

Goldman Sachs lowered its forecast for the U.S. GDP growth in the second half with a 3.50 % to 3.25 %. The forecast for the first quarter decreased to 0.8 % due to falling stocks, and the forecast for the second quarter maintained at 3.7 %.

The published U.S. statistics showed that orders for durable goods in April rose 0.8 % vs. 0.5 % and 2.5 % in March.

The price is finding the first support at 0.8950, the next one is at 0.8920. The price is finding the resistance at 0.9000.

The price is above the Cloud and above Chinkou-Span, that’s a strong and confirmed buy signal.
The upward movement remains until Kijun-Sen is under the price.

The support is at 0.8950. The resistance is at 0.9000.

MACD is in the positive territory that supports the growth.

Trading recommendations

The pair is going upwards. The potential target for the growth is the resistance 0.9000.