30, March 2015

USD/CHF (a 4-hour chart)

USD/CHF (a 4-hour chart)

General overview

The franc resumed its increase against the dollar. Earlier the franc fell after the Swiss central bank representative Silvan Tsurbryugg said that the SNB was ready to intervene "at any time", the Swiss franc was greatly overvalued. And Silvan Tsurbryugg does not expect "the long term negative inflation", he is confident that the economy would cope with the strong franc effect.

The price is finding the first support at 0.9540, the next one is at 0.9370. The price is finding the first resistance at 0.9750, the next one is at 0.9950.

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 an upward movement and the Kijun-sen shows a downward movement. The downward movement will be until the price is under the Cloud.

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

Trading recommendations

We advise to short with the first target - 0.9540. When the pair consolidates below the first target, we can open deals to the level of 0.9370.